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Gold imports almost double in August as prices fall ahead of the festival

Mumbai: According to government sources, India’s gold imports in August almost doubled year-on-year in five months as jewelers began to buy more for the festive season due to strong demand and low prices. It was the best.
The increase in imports by the world’s second-largest bullion consumer could support a benchmark gold price revised by nearly 12% from a record high of $ 2,072 in August 2020. A surge in imports could increase India’s trade deficit and put pressure on the rupee.
India imported 121 tonnes of gold in August, but 63 tonnes the previous year, sources said Monday on condition of anonymity because it was not allowed to speak to the media.
On a value basis, he said August imports surged from $ 3.7 billion a year ago to $ 6.7 billion.
A Mumbai-based gold import bank dealer said the price adjustments in the first half of the month provided an ideal opportunity for jewelers who want to stock up for the upcoming holiday season.
Local gold futures fell to 45,662 rupees per 10 grams on August 10, the lowest in four months.
“Retail demand was strong in August as the number of cases of coronavirus decreased and people went shopping,” said Hershad Azimela, a gold wholesaler in Kolkata.
Indian officials imposed a local blockade in the June quarter as Covid-19 infections surged to record highs, but allowed a gradual resumption of operations as incidents diminished.
According to government officials, India’s gold imports during the first eight months of 2021 tripled from the 2020 lower base, which forced authorities to impose a national blockade due to the outbreak of the coronavirus, 687. It became tons.
A Chennai-based bullion dealer said the country’s gold imports in September could exceed 80 tonnes from 12 tonnes last year if prices were stable before the festival.



Gold imports almost double in August as prices fall ahead of the festival

Source link Gold imports almost double in August as prices fall ahead of the festival

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