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Gold imports jump multi-fold to $7.9 bn in Q1 of FY22

Gold imports jump multi-fold to $7.9 bn in Q1 of FY22

Imports of the yellow metal had plunged to $688 million (Rs 5,208.41 crore) in the corresponding period last year, the data showed

India is the largest importer of gold, which mainly caters to the demand of the jewellery industry India is the largest importer of gold, which mainly caters to the demand of the jewellery industry

Gold imports, which have a bearing on the country's current account deficit, jumped multi-fold to $7.9 billion (Rs 58,572.99 crore) during the April-June 2021 quarter due to low base effect in the wake of the COVID-19 pandemic, according to data from the Commerce Ministry. Imports of the yellow metal had plunged to $688 million (Rs 5,208.41 crore) in the corresponding period last year, the data showed.

Silver imports, however, dipped by 93.7 per cent to $39.4 million.

Significant increase in the gold imports has led to widening of the country's trade deficit, difference between imports and exports, to about $31 billion during April-June this fiscal.

India is the largest importer of gold, which mainly caters to the demand of the jewellery industry. In volume terms, the country imports 800-900 tonnes of gold annually.

Gems and jewellery exports increased to $9.1 billion during the first three months of the current fiscal as against $2.7 billion in the same period previous year.

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