Gold demand in India, the world's biggest consumer of bullion, emerged after a gap as consumers made their wedding purchases with prices of the dollar-quoted yellow metal falling in the local market on the rupee's strength. * Demand is good as the rupee is supporting, said a dealer with a private bullion importing bank in Mumbai. "Demand will recede if prices go beyond Rs 28,000," he said. * Harvesting festival in India started on January 15, when rural demand, that contributes to 70% of imports, for the yellow metal goes up. Weddings also happen during this period. * Gold prices edged higher supported by firm overseas markets though a stronger rupee kept a lid on gains. * The most-active gold for February delivery on the Multi Commodity Exchange (MCX) was 0.36% higher at Rs 27,590 per 10 grams. * Silver extended gains to hit the highest level in a month. * Silver for March delivery on the MCX was 0.69% higher at Rs 55,929 per kg, after hitting a high of Rs 56,310, a level last seen on December 14. * On January 17, the government raised import duty on bullion to 2% on value from the previous flat rate of Rs 300 per 10 grams, and to 6% on value from Rs 1,500 per kilogram on silver, pushing up the prices of both the metals. ( Enjoy Moneycontrol.com on iPad and be prepared for a fantastic experience. Get real time stock quotes, interactive charts, market buzz, and watch CNBC-TV18, CNBC Awaaz live on your iPad. Check out the free moneycontrol app. Click here to download now )

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