India's Gold Demand Drops 6% Amid Record-Breaking Value

India's gold demand slowed down by 6% in the second quarter of this year, but the value of purchases reached a record high of Rs 1.98 lakh crore, according to the World Gold Council (WGC). The WGC expects festive and wedding season demand to support the market in the second half of 2026.

During the April-June quarter, India's total gold demand declined to 131.4 tonnes year-on-year, but the value rose 50% due to high prices. Jewellery demand fell by 15% to 75.1 tonnes, while bar and coin demand increased by 9% to 50.3 tonnes.

Gold ETF demand also saw a significant increase of 49% year-on-year to 4.2 tonnes. Consumers are opting for lighter-weight jewellery, lower-carat products, and exchange-led purchases due to affordability concerns.