As the price of gold increased, there was a huge decline in imports

The country's gold imports will fall by more than 90 percent in March compared to February 2024 and will reach the lowest level since the Corona epidemic. A government official and two bank dealers said record high prices of the precious metal had hit demand. Due to this, banks have reduced the purchase of gold, which may lead to a big decline in imports. India imported 110 tonnes of gold in February, a government official said. It may reduce to 10-11 tonnes in March.

Gold became costlier by Rs 150, silver reduced by Rs 250

With the rise in the prices of precious metals in the global market, gold rose by Rs 150 to Rs 67,000 per 10 grams i.e. one tola in the Delhi bullion market on Wednesday. When silver became less than Rs 250. It closed at Rs 77,250 per kg. In the last trading session, gold had closed at Rs 66,850 per 10 grams. In the international market, gold closed strongly at $ 2180 an ounce.

trade deficit will reduce

Lower imports from India, the second-largest consumer of gold, could limit the rise in global prices of the precious metal, which hit a record high earlier this month. Reduction in imports will help India reduce its trade deficit. Besides, rupee may also get support.

Reason for decrease in purchasing

Jewelers are not buying gold even at a discount of more than $35 an ounce as there is no reason to import at record high prices and wait for demand to pick up. Due to high prices, consumers are replacing old gold jewelery with new jewellery, due to which jewelers have stopped buying gold from banks.