India’s gold imports rose to $3.85 billion in April compared to imports of $1.23 billion in April last year. The record three-fold jump was on account of low base effect and the increase in demand due to Akshaya Tritiya, which fell on April 28. Imports of the precious metal were on a decline between February and September last year. They grew in October and November but again dipped in December and January. They recorded high growth rates in February and March.
The gold imports had risen to $4.17 billion in March this year compared to $974 million in the same month previous year. Surge in gold imports in April contributed to the widening of trade deficit to $13.2 billion as against $4.84 billion in April 2016. In volume terms, the country imported 560.32 tonnes of gold during April-January period of the last fiscal.
India is the world’s second biggest gold consumer after China. The imports mainly take care of demand by the jewellery industry.