Gold imports surge on rising global prices; unit costs hit sharp highs

India’s gold import landscape has seen a dramatic shift for the first seven months of this year, with official data from India's trade ministry indicating a sharp surge driven largely by a steep spike in global prices.

According to data for April-September 2025, gold imports declined in both value and volume compared to the same period last year, but the average unit price per tonne rose significantly, signalling a price-led rally in the market.

During April-September 2025, India imported gold worth $26.51 billion, lower than the $29.04 billion recorded in April-September 2024. Quantity-wise, imports fell from 401.27 tonnes last year to 299.77 tonnes this year. Despite this decline, the average unit price jumped sharply, from $7.23 million per tonne to $8.84 million per tonne, reflecting elevated global gold prices amid geopolitical uncertainties and strong safe-haven demand.

October 2025, however, marked a sharp turnaround. Gold imports registered an extraordinary 199.2% rise, soaring to $14.7 billion, up from just $4.9 billion in October 2024. This surge pushed cumulative imports for April-October 2025 to a 21.4% increase over the same period last year, reversing the moderation seen in the first half of the fiscal.

Officials attribute the October spike to festive-season demand, front-loading of purchases ahead of potential tariff adjustments, and robust investor interest. Analysts note that the combination of reduced physical volumes and rising prices suggests a tightening global bullion market.