Gold imports shrink 32.7% to $19.74 bn in April-Jan

NEW DELHI: India's gold imports fell by about 32.7 per cent to USD 19.74 billion during the April-January period of this fiscal, which is expected to keep a lid on the current account deficit. Total imports of the precious metal in the corresponding period of 2015-16 stood at USD 29.31 billion. According to industry experts, softening prices of the precious metal in the domestic and world markets could be the reason for the dip in imports. Cash crunch in the system in the wake of demonetisation also impacted the inbound shipments. Gold imports dipped by about 30 per cent to USD 2.04 billion in January as against USD USD 2.91 billion in the same month last year, according to the commerce ministry data. The contraction in imports helped in narrowing the trade deficit to USD 86.38 billion in April-January period as against USD 107.74 billion in the same period previous year.