ET: Rise in India's gold and silver imports in 2011
Gold and silver imports are escalating in India in 2011 primarily due to an unprecedented and aggressive consumer demand for these commodities. India's import of gold elevated by 76% and 160% in April and May 2011 respectively; silver import rose by 22% from the levels in April-May 2010.
India ranks on number one position, as consumer and importer of gold and silver globally. Ascertaining import volumes rather than values is much more accurate, given the rise in gold and silver prices in May 2011, the statistics reveal clearly the rising demand for the commodities.
According to World Gold Council (WGC), gold and silver demand from India amounted to 963.1 tonnes in 2010 - a 66% rise in 2010.
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Rise in India's gold and silver imports in 2011
Category: International Trade Sub-category: Foreign Trade by Country
Document type: news
14-Jul-2011 | 18:03 IST | Edited by: Vishal Bagaria | Image and Statistics: Tanusree Pal
Gold and silver imports are escalating in India in 2011 primarily due to an unprecedented and aggressive consumer demand for these commodities. India's import of gold elevated by 76% and 160% in April and May 2011 respectively; silver import rose by 22% from the levels in April-May 2010.
Data Source: Gems and Jewellery Export Promotion Council
India ranks on number one position, as consumer and importer of gold and silver globally. Ascertaining import volumes rather than values is much more accurate, given the rise in gold and silver prices in May 2011, the statistics reveal clearly the rising demand for the commodities.
According to World Gold Council (WGC), gold and silver demand from India amounted to 963.1 tonnes in 2010 - a 66% rise in 2010.
Data Source: Gems and Jewellery Export Promotion Council
India's state-owned trading company-Minerals and Metals Trading Corporation (MMTC)-disclosed that it shall import 350 tons of Gold and 1,200 tons of Silver in 2011-12, due to the ever-rising domestic demand for these commodities.
The main reason for rising imports, as explained, is that since the domestic production of these precious metals is almost nil as compared to their rising consumption, India has been importing hundreds of tons of gold and silver every year.
Given that gold is emerging as a much safer investment option in such a volatile market scenario, the imports are expected to rise by over 40%. MMTC almost doubled its import of gold at 45 tonnes during the April-June quarter of 2011, as compared to the same period last year. Even silver is emerging as a very profitable investment in the scenario, and its supply in the international market being low, the prices of silver are escalating too.
The usage of silver in India is extravagantly distributed, in the production of ornamental items like jewellery, utensils and gift articles. Statistics reveal that India buys more than 4,000 tonnes of silver and over 960 tonnes of gold.
