Report claims Gold imports into India at highest in 3 months

Many Indian states have withdrawn restrictions on businesses as COVID cases dwindled after a sudden surge in May.

As per a report published on the public forum by Bloomberg, Gold imports into India witnessed an increase in three successive months as economic activity took a turn after easing COVID related lockdown restraints. It stated that alleviating prices had also contributed to this demand surge.

Shipments boosted by 71% against 43.6 tons last month, leading to the greatest inflow rate compared to 70.3 tons in April.

Many Indian states have withdrawn restrictions on businesses as COVID cases dwindled after a sudden surge in May. This footfall permit had resulted in a 5% dip in domestic gold prices this year, leading to increased demands and higher supply rates.

“India’s gasoline demand is on the cusp of a V-shaped recovery as movement restrictions have been eased or lifted in several states”, added Senthil Kumaran, head of South Asia oil at industry consultant FGE, to an interview to Bloomberg.

Tata Group’s Titan averred that “With the receding second wave of pandemic and gradual lifting of restrictions on stores, the sales bounced back strongly towards Q1 quarter-end, with good momentum in Q2 quarter till date.”

“This year, Watches & Wearables and Eyewear segments have also witnessed rapid recovery in walk-ins and sales with the re-opening of stores, which was seen in only Jewellery division last year,” the company added.

“The jewellery division is gaining good traction in new customers and its mix in total buyers has reached the pre-pandemic levels”, asserted the Tata group company.

“India’s gold demand is expected to be stronger in the second half of 2021 compared with the prior six months due to softer prices and more occasions such as festivals and weddings”, the World Gold Council added in a recently published statement.

Source Mint
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