New Delhi, July 19
Gold imports, which have a bearing on the present account deficit (CAD), plunged 94 per cent to USD 688 million (about Rs 5,160 crore) throughout the first quarter of 2020-21 resulting from a big fall in demand within the wake of the COVID-19 pandemic, in accordance with knowledge from the Commerce Ministry Imports of the yellow steel stood at USD 11.5 billion (about Rs 86,250 crore) within the corresponding interval of 2019-20.
Similarly, silver imports throughout the quarter too dipped 45 per cent to USD 575 million (about Rs 4,300 crore).
The decline in gold and silver imports has helped in narrowing the nation’s commerce deficit, distinction between imports and exports, to USD 9.12 billion throughout April-June 2020-21 towards USD 45.96 billion within the year-ago interval.
Due to narrowing of commerce deficit, India recorded a present account surplus of USD 0.6 billion or 0.1 per cent of GDP for January-March quarter towards a deficit of USD 4.6 billion or 0.7 per cent of GDP within the year-ago interval, the Reserve Bank of India has stated.
Gold imports have been recording a destructive development since December final yr. The fall in March, April, May and June was to the tune of 62.6 per cent, 99.93 per cent, 98.Four per cent and 77.5 per cent, respectively. India is the most important importer of gold, which primarily caters to demand of jewelry business. In quantity phrases, the nation imports 800-900 tonnes of gold yearly.
Gems and jewelry exports declined by about 72 per cent to USD 2.7 billion in April-June 2020. PTI