Despite record high prices, gold glitters for Indians

Rising imports fuelled more by local demand than export output

- MUKESH JAGOTA

UNDETERRED BY ALL-TIME high international prices, Indian demand for gold in the international markets rose 172% on-year in October to 165 tonne from 60 tonne in the same month of the previous year, an analysis by Gems and Jewellery Export Promotion Council (GJEPC) said.

The demand was fulfilled through purchases of the yellow metal worth $14.72 billion overseas, which was 200% more than last year's $4.92 billion.

The difference between volume and value growth can be attributed to more than 25% increase in prices of yellow metal in April-October as compared to last year.

The surge in silver exports was even higher - 528% on-year at $2.71 billion. October's gold import surge was a continuation of the trend seen in September, when imports rose 77.8% on-year to 110 tonne.