Muthoot launches recycling hub in Bengaluru; to open more stores

Muthoot Exim Pvt Ltd, the precious metals division of the Muthoot Pappachan Group (MPG), on Monday launched its gold recycling centre here, with plans to open 14 or 15 more such centres by the end of 2017.

Muthoot Gold Point here is the eighth centre in the country, after Coimbatore, Chennai, Delhi, Mumbai, Kolkata, Ahmedabad and Vijayawada.

The company has claimed that the scheme has helped the government cut down the import of gold, by garnering and channelising domestic unused gold to productive use.

According to estimates, it said, gold recycling has not been tapped to its fullest in India and it mostly happens in the unorganised sector.

The company through its centres will buy old and used gold items directly from customers, reprocess, refine and supply refined bars for domestic consumption, with the objective of reducing dependence on gold imports, it added.

After the initiative was launched in November 2015, the company was able to recycle 140 kg of used gold.

"We plan to launch 5 to 6 more such centres in this financial year," Thomas John Muthoot, CMD, Muthoot Pappachan Group, said.

Muthoot Exim plans to have 14 to 15 Muthoot Gold Point Centres by the end of 2017 and recycle about one tonne of scrap gold by 2018, the statement added.

The centre here was launched jointly by Thomas John Muthoot and Keyur Shah, Chief Executive Officer, Muthoot Precious Metals Division.