India craves gold

India’s gold imports jumped by a whopping 658 percent in September 2021 compared to September 2020. Or in other words, imports accounted for around $5.1 billion last month, while the value of gold in September 2020 was just $601 million. Instead of 12 tons as a year ago, 91 tons of gold were imported this September. The local prices of gold have gone down, and jewellers are taking advantage of this as gold is once again top of the list for gifts with the upcoming festive season. Currently, Indian gold buyers are witnessing the lowest gold price in almost six months. Also, the Indian rupee has appreciated. This combination has enabled many traders to buy gold heavily. And India is the second largest consumer of gold bullion in the world. This should have a supportive effect on the price of the precious metal.

Indian traders are already enjoying improved retail demand and jewellery stores are experiencing brisk demand from customers. A further increase in gold imports is expected in the current October. While 45 tons of gold were imported last year, experts expect more than 100 tons this October, at least if the gold price in India remains at the current favorable level. The number of coronavirus cases has fallen, and with it the fear of the virus, and so retail consumers are happy to come shopping again.

Gold in the form of jewelry, bars or coins is a good thing for investors. But if you still want leverage on the gold price, look to gold companies. Karora Resources – https://www.youtube.com/watch?v=JQ7gZMTXiJY – is successfully producing in Western Australia at its Beta Hunt and Higginsville gold projects. Work is underway to increase production and reduce costs.

Another gold producer is OceanaGold – https://www.youtube.com/watch?v=KiVnrL52S-M – with projects in New Zealand, the US and the Philippines. Up to 380,000 ounces of gold production in total are expected in the coming year.

Current corporate information and press releases from Karora Resources (- https://www.resource-capital.ch/en/companies/karora-resources-inc/ -) and OceanaGold (- https://www.resource-capital.ch/en/companies/oceanagold-corp/ -).

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