Gold import to India in May “reached nearly a two-year high level at $4,958.6 million”, according to Art of Jewellery. 122 tonnes were imported – the highest since March 2015.
According to data provided by the Commerce Ministry and quoted in the piece, gold import in May “was the highest after August 2015”, when it totaled $4,958.6 million. The reason for the increased imports, according to the piece, is that traders “wanted to replace gold that was not earlier shown on the books ahead of the goods and services tax (GST). Once that is done, jewellers are in a hurry to sell jewelry ahead of the GST […]”.
Surendra Mehta, secretary, Indian Bullion and Jewellers Association, is quoted as saying: “Gold is quoting at a minor discount as dealers are liquidating stocks due to the GST. Jewellers also liquidating as they will not get the excise benefit of 1 per cent post GST”.
