Gold imports went up by over 42 per cent during November at 39.8 tonne in spite of ruling high price as compared to the corresponding month in 2009.
India, the world's largest consumer of the yellow metal, imported 28 tonne during November 2009, according to data given by the Bombay Bullion Association (BBA).
"Even as the price skyrocketed, good monsoon coupled with rise in equity and commodity markets increased the purchasing power of people followed by boost in demand. Whereas 2009 was faced with recession that affected the demand," BBA President Prithviraj Kothari told PTI.
Gold price in the domestic market was ruling at over Rs 25,000 per 10 grams level, while in the international markets it was at $1,387.11 an ounce (28.34 grams).
Earlier, the World Gold Council (WGC) in its report on Q3 gold demand trends in 2010 had said the total demand for the yellow metal was up by 79 per cent to 650.4 tonnes in the January-September period compared to 363 tonnes in the same period in 2009.
"We expect this phenomenon to continue. With the wedding season coming up and two months still remaining until the end of 2010, we anticipate that Indian gold will continue to reach greater heights," WGC Managing Director (Middle East and India) Ajay Mitra had said.
More From This Section
The rise in demand boosted the total imports, which have already exceeded last year's 559 tonnes and is likely to cross the 750-tonne mark this year, he said.
The demand for jewellery is likely to exceed the 2009 level mainly due to an anticipated recovery in India and China's growing economic strength, Mitra said.