India Gold Imports Grind to a Halt

Source:

"Dealers said there were no gold imports in February or March."

India, long famed as the world's largest gold buyer, has stopped importing the precious metal as people sell their scrap jewellery and coins to exploit high world bullion prices, dealers said on Friday.

Dealers said there were no gold imports in February or March.

Even in January - the middle of the gift-giving wedding season - India imported just 1.8m tonnes, down nearly 90% from a level of 14 tonnes a year earlier, industry data showed.

"There were no imports in February and March," Suresh Hundia, president of the Bombay Bullion Association told AFP on Friday.

Experts say this is the first time in more than a decade that India has not imported gold.

However, India could soon be importing gold again if world prices fall further, said Hundia, noting the differential between the domestic and world price had narrowed sharply.

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