India's June Gold Imports Plunge 86% On Record High Prices, Travel Ban: Report

India's gold imports plunged 86 per cent on a year-on-year basis in June due to record high prices and as international air travel was banned and many jewellery shops were closed amid a nationwide lockdown to curb the spread of coronavirus, news agency Reuters reported, quoting a government source. The world's second-biggest consumer of the precious metal imported around 11 tonnes of gold in June, down from 77.73 tonnes a year ago, the source reportedly said on Thursday. In value terms, June imports dropped to $608.76 million from to $2.7 billion a year ago, he added.

India's gold imports plunged 86 per cent on a year-on-year basis in June due to record high prices and as international air travel was banned and many jewellery shops were closed amid a nationwide lockdown to curb the spread of coronavirus, news agency Reuters reported, quoting a government source. The world's second-biggest consumer of the precious metal imported around 11 tonnes of gold in June, down from 77.73 tonnes a year ago, the source reportedly said on Thursday. In value terms, June imports dropped to $608.76 million from to $2.7 billion a year ago, he added.

However, the numbers suggest that some import has picked up as in May, they had dropped 99 per cent on a year-on-year basis.

Amid the coronavirus pandemic, investors have trusted gold as a safe haven thus pushing the price of the yellow metal up in the global market. On Wednesday, MCX gold futures surged to an all-time high of Rs 48,982 per 10 grams. Spot gold too, firmed near an eight-year peak of $1,788.06 per ounce on Wednesday.

Tracking the gains in global markets, gold prices touched a new peak in domestic markets too as they crossed Rs 48,970 per 10 grams on Wednesday.