<p>India's gold imports in August nearly doubled from a year earlier to the highest in five months on strong demand and as weaker prices prompted jewellers to ramp up purchases for the festive season, a government source said.</p>.<p>Higher imports by the world's second-biggest bullion consumer could support benchmark gold prices, which have corrected nearly 12 per cent from an all-time high of $2,072 in August 2020. The surge in imports could increase India's trade deficit and pressure the rupee.</p>.<p>India imported 121 tonnes of gold in August, compared to 63 tonnes a year earlier, the source said on Monday on condition of anonymity as he is not authorised to speak to media.</p>.<p>In value terms, August imports surged to $6.7 billion from $3.7 billion a year ago, he said.</p>.<p>A price correction in the first half of the month gave an ideal opportunity for jewellers who wanted to build inventories for the upcoming festive season, said a Mumbai-based dealer with a gold importing bank.</p>.<p>Local gold futures fell to 45,662 rupees per 10 grams on Aug. 10, the lowest in four months.</p>.<p>"Retail demand was good in August as coronavirus cases fell and people stepped out to shop," said Harshad Ajmera, a gold wholesaler in Kolkata.</p>.<p>Indian authorities had imposed localised lockdowns in the June quarter as Covid-19 infections surged to a record high, but allowed businesses to reopen in a phased manner as cases fell.</p>.<p>India's gold imports in the first eight months of 2021 tripled to 687 tonnes from the lower base of 2020, when the coronavirus outbreak forced authorities to impose a nationwide lockdown, the government official said.</p>.<p>The country's gold imports in September could rise above 80 tonnes from 12 tonnes a year earlier if prices remain stable ahead of festivals, said a Chennai-based bullion dealer. </p>
<p>India's gold imports in August nearly doubled from a year earlier to the highest in five months on strong demand and as weaker prices prompted jewellers to ramp up purchases for the festive season, a government source said.</p>.<p>Higher imports by the world's second-biggest bullion consumer could support benchmark gold prices, which have corrected nearly 12 per cent from an all-time high of $2,072 in August 2020. The surge in imports could increase India's trade deficit and pressure the rupee.</p>.<p>India imported 121 tonnes of gold in August, compared to 63 tonnes a year earlier, the source said on Monday on condition of anonymity as he is not authorised to speak to media.</p>.<p>In value terms, August imports surged to $6.7 billion from $3.7 billion a year ago, he said.</p>.<p>A price correction in the first half of the month gave an ideal opportunity for jewellers who wanted to build inventories for the upcoming festive season, said a Mumbai-based dealer with a gold importing bank.</p>.<p>Local gold futures fell to 45,662 rupees per 10 grams on Aug. 10, the lowest in four months.</p>.<p>"Retail demand was good in August as coronavirus cases fell and people stepped out to shop," said Harshad Ajmera, a gold wholesaler in Kolkata.</p>.<p>Indian authorities had imposed localised lockdowns in the June quarter as Covid-19 infections surged to a record high, but allowed businesses to reopen in a phased manner as cases fell.</p>.<p>India's gold imports in the first eight months of 2021 tripled to 687 tonnes from the lower base of 2020, when the coronavirus outbreak forced authorities to impose a nationwide lockdown, the government official said.</p>.<p>The country's gold imports in September could rise above 80 tonnes from 12 tonnes a year earlier if prices remain stable ahead of festivals, said a Chennai-based bullion dealer. </p>