Import of gold and silver jump 62.5%
Posted on: 12/Nov/2013 10:18:34 AM
There was a great decline in the import of gold and silver during the month of September. In September the imports fell by over 80 per cent year-on-year to $0.8 billion. The inbound shipments grew mainly due to the festival season and clearing of the air on a norm for gold imports. The Reserve Bank of India`s (RBI) 80:20 scheme for gold imports had left many confused, leading to imports being held up at customs.
Now the gold and silver import has jumped by 62.5 per cent to $1.3 billion in October. An increase in the gold and silver imports have pushed the trade deficit to $10.5 billion in October, the second-lowest during the year but higher than $6.76 billion registered in September.
In order to contain imports of the precious metals, the government had recently hiked import duty on gold for the third time in a year and also banned imports of gold coins and medallions. Further, the RBI also restricted import of gold to a consignment basis by banks.
India is the largest importer of gold, which is mainly utilised to meet the demand of the jewellery industry. Import of the precious metal stood at 845 tonnes in 2012-13.
