India's Gold Demand Falls 6%, But Value Hits Record High

India's gold demand fell 6% in the April-June quarter compared to the same period last year, according to the World Gold Council. The total demand for gold was 131.4 tonnes during this time.

The decline in demand was attributed to seasonally subdued sales, higher Customs duty, and Prime Minister Narendra Modi's appeal to reduce non-essential gold purchases. However, the value of gold demand reached a record high, increasing by 50% compared to the same period last year.

Investment demand remained strong, with bar and coin demand growing 9% year-on-year to 50.3 tonnes. Indian Gold ETFs also attracted net inflows of 4.2 tonnes despite global outflows.