October gold import soars 65%

According to trade analysts,the signs of global economic recovery and good monsoon has given a drew customers to the appeal of the yellow metal despite the ruling high prices.

Gold on Saturday ruled at Rs 20,440 per 10 grams,while on the international market it was trading at USD 1,368.80 an ounce.

The country had faced its worst drought in 2009,which badly affected agriculture production,particularly paddy,coupled with world economic crisis made people conserve their savings.

With increasing consumer confidence the imports are steadily rising and stood 8.2 tonnes more than in September,which was 34.8 tonnes.

“This year the demand during the festivals were very high as compared to the year-ago period,which resulted in high imports,” industry expert Suresh Hundia said.

However,after the festive season there is hardly any demand for the precious metal which,is likely to affect the November imports,he said.

Analysts feel that,in short term the gold prices will decline by 30-40 dollars in the global market and Rs 500-600 in the domestic markets due to profit taking.