Business · Energy & Commodities · 10 hrs ago
India’s gold demand fell 29% as prices surged
The World Gold Council says India’s gold demand fell 29% in July–September 2026 compared with a year earlier.
Buyers purchased 162.5 tonnes, down from 229.8 tonnes, but spent about 242 billion rupees, 3% more.
Gold prices were about 45% higher, making purchases more expensive.
Demand for jewellery fell 20%, while purchases of bars and coins fell 40%.
The council says higher prices and a weaker rural economy are weighing on buying.
It expects full-year demand of 625–675 tonnes, which could be the lowest since 2020.
Festivals and the wedding season may lift demand in the final quarter, but high prices could limit the recovery.
India’s gold demand fell 29% year on year to 162.5 tonnes in the July–September 2026 quarter, the World Gold Council said.
The council attributed the decline mainly to a 45% rise in prices, alongside higher import duties.
Despite lower volumes, the value of purchases rose 3% to about 242,000 crore rupees.
Jewellery demand fell 20% to 99.9 tonnes, while demand for bars and coins fell 40% to 55 tonnes.
The council forecast full-year demand of 625–675 tonnes; one report put the estimate at about 650 tonnes.
- Who
- Indian gold buyers; the World Gold Council reported the figures.
- What
- Gold demand fell 29% year on year to 162.5 tonnes in the July–September quarter, while its value rose 3%.
- When
- July–September 2026.
- Where
- India.
- Why
- The sources cite sharply higher gold prices and increased import duties; one also points to weak rural purchasing power.
This story does not have two clearly opposing sides.
India’s gold demand fell to 162.5 tonnes, down 29% from the same quarter a year earlier.
Gold prices eased somewhat toward the end of the month, and some purchases that had been postponed resumed, particularly in southern India, according to the World Gold Council regional CEO.
News reports published the World Gold Council’s quarterly figures and its full-year demand forecast.
- Quarterly demand
- 162.5 tonnes, down 29% year on year
- Purchase value
- 242,000 crore rupees, up 3%
- Average domestic gold price
- 148,891 rupees per 10 grams
- Jewellery demand
- 99.9 tonnes, down 20%
- Full-year demand forecast
- 625–675 tonnes according to Eenadu and Sakshi; about 650 tonnes according to The Economic Times Telugu
3 sources
What people are saying
In the September quarter, gold demand in the country fell 29 percent year on year to 162.5 metric tonnes; jewellery purchases fell 20 percent, while investment purchases fell 40 percent.
Indians continue to give gold preference as a long-term store of value, regardless of prices.