Gold production volume in India FY 2012-2024

India's primary gold production is expected to amount to around 1,341 kilograms in the financial year 2023-24. This is a notable decrease from the country's primary gold production in financial year 2019-20, which amounted to 1,742 kilograms. 

Indian jewelry market: a driver of gold consumption

Accounting for nearly one-third of the global gold demand, India’s fascination with jewelry can be dated back to almost five thousand years ago, to the time of the Indus Valley Civilization. Indeed, the jewelry market in India contributes to about seven percent of the country's GDP. The availability of highly skilled labor at low costs makes the region a very favorable market. With the highest saving rates worldwide, at about 30 percent, Indians put their faith in the value of gold, investing about ten percent of their savings into it.

Gold imports to India: meeting demand through trade

Despite India's sizeable demand for gold, the country is not among the world's leading gold mining countries. In fact, India meets much of its gold demand through imports. As of 2021, India's gold imports amounted to 55.8 billion U.S. dollars, and was the second-largest gold importing nation based on value that year.