World Gold Council says India's gold demand was what supported the global market in Q1 2017, but where in India does the gold go to?
The latest report from the World Gold Council says that gold demand from India was what supported global gold demand in the first quarter of 2017. Indian purchases of gold jewellery in the first quarter of 2017 accounted for a little over a fifth of world jewellery demand. That is completely out of proportion to India’s share of world gross domestic product (GDP), which is around 3% or so, in current US dollars. During Q1, 2017, India’s demand for gold jewellery was 92.3 tonnes, compared to 22.9 tonnes for the US. Investment demand for gold in the form of bars and coins was 31.2 tonnes in Q1 2017, compared to 16.2 tonnes for the US.