Gold Imports Surge 28.73% to $69 Billion, Trade Deficit Widens

• India's gold imports jumped 28.73% to $69 billion from April-February 2025-26, according to Ministry of Commerce data.
• The increase in gold imports contributed to a rise in the country's trade deficit, reaching $310.60 billion.
• Switzerland is the largest source of gold imports, accounting for about 40%, followed by UAE and South Africa.
• India is the world's second-largest gold consumer after China, with imports primarily fueling the jewelry industry.
• Silver imports also saw a significant increase of 142.87% to $11.43 billion in the same period.

Key Questions Answered

How will new import restrictions affect gold prices?

New import restrictions on gold, platinum, and silver are expected to increase domestic prices.

What impact will this have on India's economy?

The Iran war is expected to significantly impact India's economy by increasing inflation and reducing GDP growth. India's Rupee has fallen against major currencies.

Could silver demand increase in other sectors?

Silver demand could increase in other sectors if there is a strong rebound in manufacturing and tech sectors.