Gold imports double in August

Chennai: Gold imports in August doubled against the same month last year as jewelers stocked up inventory for the festive season, making use of lower prices. Imports in August were also 68 per cent higher than those in July. In the first eight months of 2021, gold imports tripled to 687 tonnes.

At 121 tonnes, gold imports in August were highest in five months and almost double of 63 tonnes imported in the same month last year. In value terms, August imports surged to $6.7 billion from $3.7 billion a year ago.

The lower base supported August imports as the corresponding month last year was still not out of the lockdown. Further, this time, the traders and jewellers used the correction in gold prices to build their festive season inventory.

Gold prices in the international market are 12 per cent lower than their record high levels of $2,072 per ounce. In rupee terms, gold prices are down 18 per cent to Rs 45,660 per 10 gm against the record high level of Rs 56,191 in August last year.

August imports were 68 per cent higher compared to the July import of 74 tonnes, which itself was double the July 2020 import of 32 tonnes. Imports were muted in the previous three months due to the localised lockdowns.