Gold imports surge 72% in December on high demand, weak global prices

NEW DELHI: India's gold imports rose by 71.52 per cent to $3.39 billion in December because of weak global prices and higher domestic demand.
According to the commerce ministry's data released today, silver imports too rose by 106 per cent to $197.26 million last month as against $95.84 million in December 2016.
Gold imports by India, the world's second-biggest consumer of gold, stood at $3.39 billion in December 2017 as against $1.97 billion a year ago.
Industry experts have attributed the surge in gold imports to lower global prices which ranged between $1,250 and $1,260 per ounce coupled with a robust local demand.
Many traders imported more gold taking advantage of the duty-free buying, while some booked deals apprehensive that the import duty may be tweaked in the forthcoming Budget, they added.
The ministry's data further showed that export of gems and jewellery rose marginally by 2.38 per cent to $3.23 billion from $3.15 billion in the said period.
Global gold prices have however surged in the last few weeks by $100 to Rs 1,343 per ounce on the London Stock Exchange.
The country imports 700-800 tonnes gold annually.