India gold imports to hit record high in 2011

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FE Team | Published: March 23, 2011 00:00:00 | Updated: February 01, 2018 00:00:00

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MUMBAI, Mar 22 (Commodity Online): Gold imports by India, the largest consumer and importer of the yellow metal in the world, is going to touch a record high in 2011 despite the high prices of gold. According to initial estimates by the Bombay Bullion Association (BBA), imports of gold by India are steady and strong and could hit a record of 800 tons this year. "Gold import by India is going up every month despite the high gold prices. Strong jewellery sales and consumer investment demand for gold are the main drivers for the surge in gold imports," a BBA official said. According to unofficial estimates of BBA, gold imports by India could touch or exceed 800 tonnes in 2011 if the current trend continues. "In the first two months of January and February, gold imports have been strong. The trend is continuing in March also," he said. Recently, the World Gold Council (WGC) had said that strong gold jewellery sales by India, the largest consumer of the yellow metal in the world, helped boost gold imports to the country in 2010. According to WGC statistics, gold imports by India, the largest consumer in 2010, exceeded 2009 levels as consumers boost jewelley purchases. Imports totaled 624 tonnes by the end of the third quarter, compared with 559 tonnes in all of 2009, according to data released in a report by WGC. India bought 214 tonnes in the third quarter, up from 176 tonnes a year earlier, it said.