Ahmedabad: Gold imports up 62% in Q1

Gold imports at Sardar Patel International Airport in Ahmedabad stood at 4.61 tonnes in June, according to the monthly report by Gujarat State Export Corporation Ltd (GSECL). This puts the total import in the first quarter of the fiscal 2019-20 at 19.17 tonnes, a rise of about 62.36% compared to 11.81 tonnes during the corresponding quarter last year. Silver imports for June stood at 74.11 tonnes.

Harshvardhan Choksi, former president of Shree Chokshi Mahajan, said that a long wedding season in summer had resulted in higher demand for the precious metal. Moreover, there was profit booking after the equity market reached a record high and the earnings were then parked in bullion. Gold was priced at about Rs 35,500 per 10 grams in Ahmedabad market on Wednesday. Choksi ruled out any moderation in prices in the near future.

Jigar Soni, vice president of Jewelers Association Ahmedabad, said that the current high prices have brought the business to a standstill and people are waiting for a drop in price before making purchases. "The current prices are unaffordable for buyers. Instead of buying fresh gold, people are recycling old gold. I do not see any uptick in demand in the near future. However, if prices remain high for a reasonable period, people will come back to the market," said Soni.