August gold imports reached a minimum of three years as prices jump to record: government source

NEW DELHI/MUMBAI: Gold imports in August 73% fell from a year ago to the lowest level in three years, as a rise in local prices to a record and an increase in import tariffs restricted retail purchases of the precious metal, a government source said on Wednesday .

The lower imports of the second largest consumer in the world could limit world price gains that are traded near their highest level in more than six years, but they help the South Asian country reduce the trade deficit and support the rupee.

India imported 30 tons of gold in August, below the 111.47 tons of the previous year, said the source, who was not allowed to speak to the media. In terms of value, the country's imports in the month fell 62% to $ 1.37 billion, he said.