Imports made up 86 per cent of India's gold supply between 2016-2020, and inbound shipments continue to grow despite high import duty, as per a report by the World Gold Council (WGC).
Since the first duty hike in 2012, India has imported some 6,581 tonnes of gold, averaging 730 tonnes per annum, according to WGC's 'Bullion Trade in India' report.
In 2020, India imported 377 tonnes of gold bars and dore from over 30 countries, of which 55 per cent came from just two countries -- Switzerland (44 per cent) and the UAE (11 per cent). One important change that has taken place in India's gold market is the growth in gold dore imports. The increase reflects the government's accommodative stance towards gold refining, the report said.