Archive · 30 Jul 2026
Gold Demand Falls 6% Yet Spending Hits Record in Q2 2026
In the second quarter of 2026, people in India bought less gold by weight, but they spent a lot more money on it.
Prices were very high, so buyers chose lighter and cheaper pieces.
They also bought more gold bars and coins for investment.
Even though the amount of gold bought went down, the total money spent was the highest ever.
The next few months will depend on how prices change and on wedding and festival buying.
Total gold demand fell 6% YoY to about 131 tonnes in Q2 2026.
Value of purchases rose 50% YoY to a record Rs 1.98 lakh crore (~US$21B).
Jewellery volume dropped 15% YoY to 75.1 tonnes, but spending increased 34% due to higher prices.
Investment demand (bars, coins, digital gold) grew 9% YoY, with Indian Gold ETFs net inflows of 4.2 tonnes.
Demand is expected to stay price‑sensitive; festive season and price corrections may drive buying in H2 2026.
- Who
- Indian consumers and the World Gold Council
- What
- Gold demand fell 6% YoY but spending reached a record high
- When
- April–June 2026
- Where
- India
- Why
- High domestic prices, import duty hike, and a weaker rupee drove buyers to spend more on lower‑carat and lighter jewellery while still accumulating gold
- Total demand
- 131 tonnes
- Value of purchases
- Rs 1.98 lakh crore
- Jewellery volume
- 75.1 tonnes
- Jewellery spending
- Rs 1.13 lakh crore
- Investment demand
- 50.3 tonnes
