Gold imports up over 2-fold to $38 bn in April-Dec FY22

New Delhi: India's gold imports, which has a bearing on the country's current account deficit (CAD), more than doubled to $38 billion during April-December this fiscal on account of higher demand, according to data of the commerce ministry.

The imports stood at $16.78 billion in April-December 2020.

In December 2021, imports of the precious metal rose to $4.8 billion from $4.5 billion in the year-ago period.

The surge in gold imports during the nine months contributed to the widening of the trade deficit to $142.44 billion against $61.38 billion in April-December 2020.

Similarly, silver imports also increased to $2 billion during April-December 2021 from $762 million in the same period of the previous fiscal.

India is the world's second-biggest gold consumer after China. The imports mainly take care of the demand by the jewellery industry.

The gems and jewellery exports during the nine-month of the current fiscal grew by 71 per cent to about $29 million.

India's current account slipped into a deficit of $9.6 billion or 1.3 per cent of GDP in the September quarter, according to the Reserve Bank.