India's Gold Demand Surges Amid Elevated Prices and Festive Buying

India's demand for gold in Q2 2026 saw significant growth despite declining volumes. According to data released by the World Gold Council (WGC), the total value of gold demand surged 50% to ₹1,98,100 crore during the period, compared with ₹1,32,500 crore in Q2 2025. This increase was driven by elevated gold prices.

Jewellery demand fell 15% to 75.1 tonnes in Q2 2026 from 88.8 tonnes a year earlier, but the value of jewellery demand rose to ₹1,13,210 crore from ₹84,200 crore in Q2 2025. This growth was supported by seasonal buying during festivals like Akshaya Tritiya and Gudi Padwa.

Investment demand remained resilient during the quarter, with bar and coin demand rising 9% year-on-year to 50.3 tonnes from 46.1 tonnes, while its value increased 73% to ₹75,750 crore from ₹43,760 crore. Gold ETF demand also strengthened, rising 49% to 4.2 tonnes from 2.8 tonnes a year earlier.