New Delhi, Oct 04 :
Gold imports plunged 68 per centyear on year in September to their lowest in more than three years as record domestic gold prices curbed retail buying, a government source said on Friday.
Lower imports by the world’s second biggest consumer could cap gains in global prices that are trading near their highest level in over six years, but help New Delhi in bringing down the trade deficit and supporting rupee.
The south Asian country fulfils nearly all its gold demand through imports.
India imported 26 tonnes of gold in September, down from 81.71 tonnes a year ago, the source said, who is not authorised to speak to the media. In value terms, September imports fell 51 per cent to $1.28 billion, he added.
In September, local gold futures hit an all-time high of Rs. 39,885 ($562.10) per 10 grams, taking their gains to more than 26 per cent in 2019.
Retail demand was weak in September because of higher prices and the Shradh period, which is considered inauspicious for buying bullion, said a Mumbai-based dealer with a bullion importing bank.
