Gold demand bounces back, up 37% in Jan-Mar

Mumbai India's gold demand recovered during the January-March period to witness a growth of 37 per cent at 140 tonne compared to the same quarter of 2020, due to ease of Covid-related restrictions, pent up demand and softening of prices of the yellow metal, according to the World Gold Council (WGC).

The overall gold demand stood at 102 tonne during the first quarter of 2020, as per WGC data. Gold demand in value terms increased by 57 per cent during the first quarter of this calendar year to Rs 58,800 crore compared to Rs 37,580 crore in the corresponding period of 2020. Total jewellery demand was up by 39 per cent at 102.5 tonne compared to 73.9 tonnes during January-March 2020. In terms of value, jewellery demand grew by 58 per cent to Rs 43,100 crore from Rs 27,230 crore in the same quarter of last year. Investment demand for the quarter under review increased by 34 per cent to 37.5 tonne in comparison with 28.1 tonne in the same period of 2020, while in value terms it was up by 53 per cent at Rs 15,780 crore from Rs 10,350 crore during January-March of last year. Total gold recycled in the country witnessed a drop of 20 per cent during the first quarter of this calendar year at 14.8 tonne compared to 18.5 tonne in the same quarter of 2020.