Gold imports by India hit decade-high as jewelry demand doubles

Jan 28, 2022

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Gold imports by India accelerated to the best degree in a decade final yr as jewellery gross sales nearly doubled, with the demand outlook remaining shiny, based on the World Gold Council.
Demand revived after two bleak years as Indians as soon as once more flocked to jewellery shops in 2021 as fears of the pandemic eased. Weddings and celebrations picked up in full swing within the three months by means of December, greater than doubling full-year imports to about 925 tons, the best since 2011, based on the council knowledge.
“Beginning 2022, you will note demand organising a brand new regular towards 800-850 tons,” in contrast with a median of 667 tons within the 5 years by means of 2020, mentioned P.R. Somasundaram, regional chief govt officer for India on the London-based group. The following few years shall be key as coverage reforms and know-how let gold evolve right into a extra clear mainstream asset class, he mentioned.
Complete demand for jewellery, cash and bars jumped 79% to 797 tons final yr, the information confirmed. Covid-19 and its variants, international considerations on inflation, rates of interest and geo-political developments will stay elements to look at in 2022, he mentioned.

Decade High

Key numbers from WGC’s quarterly demand traits report:
* India’s gold demand within the October-December competition quarter rose to a report excessive of about 344 tons, based on Somasundaram
– Jewellery gross sales almost doubled to 265 tons and funding purchases gained 61% to about 79 tons
* Imports climbed 25% to 208.4 tons within the quarter



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