Gold imports hit 6-month high
27/11/2014 15:35
India seems to have renewed its love affair with the yellow metal as gold imports surged to the highest level in six months in September, causing a fresh headache to the Narendra Modi government which is seeking to bridge the current account gap in Asia’s third biggest economy which is battling an economic slowdown and persistently high inflation.
Imports of the bullion by India, the world’s second biggest gold consumer, stood at 95,673 kg in September 2014, Commerce and Industry Minister Nirmala Sitharaman told the Parliament which began its Winter Session proceedings on Monday.
In August 2014, gold imports had stood at 50,213 kg, which followed 43,207 kg, 52,612 kg, 77,681 kg and 45,269 kg in April, May, June and July, respectively.
A surge in bullion imports widened India’s trade shortfall to USD 13.35 billion in October 2014 from USD 10.59 billion in the same month a year ago, raising speculation that the government may impose fresh curbs on imports of the precious metal to rein in the trade and current account deficits.
“Government decision making is a dynamic process which depends upon the current circumstances and the information available from time to time. Appropriate decision are accordingly taken as and when required”, Sitharaman said on a question over whether the government plans to undertake measures cut gold imports.
The UPA government had raised the import duty on the yellow metal to 10 per cent while the RBI had banned import of gold coins and medallions to rein in gold imports
27/11/2014 15:35
India seems to have renewed its love affair with the yellow metal as gold imports surged to the highest level in six months in September, causing a fresh headache to the Narendra Modi government which is seeking to bridge the current account gap in Asia’s third biggest economy which is battling an economic slowdown and persistently high inflation.
Imports of the bullion by India, the world’s second biggest gold consumer, stood at 95,673 kg in September 2014, Commerce and Industry Minister Nirmala Sitharaman told the Parliament which began its Winter Session proceedings on Monday.
In August 2014, gold imports had stood at 50,213 kg, which followed 43,207 kg, 52,612 kg, 77,681 kg and 45,269 kg in April, May, June and July, respectively.
A surge in bullion imports widened India’s trade shortfall to USD 13.35 billion in October 2014 from USD 10.59 billion in the same month a year ago, raising speculation that the government may impose fresh curbs on imports of the precious metal to rein in the trade and current account deficits.
“Government decision making is a dynamic process which depends upon the current circumstances and the information available from time to time. Appropriate decision are accordingly taken as and when required”, Sitharaman said on a question over whether the government plans to undertake measures cut gold imports.
The UPA government had raised the import duty on the yellow metal to 10 per cent while the RBI had banned import of gold coins and medallions to rein in gold imports
