Gold Demand Rises 5% To 802.8 Tonne In 2024

Mumbai: Gold demand in India witnessed a 5 per cent on-year rise at 802.8 tonnes in 2024 supported by reduction in import duty, and purchases related to weddings and festivals, and going ahead consumption of the yellow metal in 2025 is likely to be between 700-800 tonne, according to the World Gold Council.

The World Gold Council (WGC) in a report on Wednesday said gold demand in the country in 2024 stood at 802.8 tonnes, as against 761 tonnes in 2023. The total gold demand value went up by 31 per cent at Rs 5,15,390 crore in 2024, compared to Rs 3,92,000 crores in 2023.

Sachin Jain, CEO,WGC Regional India, said: “Our outlook for 2025, gold demand is between 700-800 tonne. It is expected that gold jewellery demand will recover due to wedding-related purchases, provided there is some level of price stability.”

It is pertinent to mention here that the gold price touched multiple record highs over the past year.

According to the All India Sarafa Association, gold prices extended the rally for the fifth straight session and rose Rs500 to hit a fresh peak of Rs85,800 per 10 grams in the national capital on Tuesday amid robust demand from jewellers and retailers.

In this year, gold has surged Rs6,410 or 8.07 per cent to Rs 85,800 per 10 grams from Rs 79,390 per 10 grams on January 1. The WGC’s 2024 Gold Demand Trends report stated that during the fourth quarter (October-December) demand was flat at 265.8 tonnes, which is similar to 266.2 tonnes in the same period of 2023. Meanwhile, in 2024, the jewellery demand declined by 2 per cent to 563.4 tonnes in 2024, compared to 575.8 tonnes in 2023.

“The total jewellery demand, in terms of volume, decreased by two per cent to 563.4 tonnes in 2024, despite the gold price reaching multiple record highs. “This indicates the resilience of gold jewellery demand in India and highlights the effect of the duty cut in July as well as India’s stronger economic growth compared to many other markets,” Jain said.