Page 49 - SMUGGLING IN INDIA REPORT FOR 2020-2021

Overview
India witnessed a strong resurgence in the import of gold in the aftermath of both the first and the second waves of the COVID-19 pandemic. The spurt in demand for gold drove the monthly values of imports of gold well past their corresponding levels in the previous financial years. The strong
rally in gold import towards the end of FY 2020-21 resulted in the net total gold import for FY 2020- 21 not only jumping by 27.62% over the previous FY, but also being the highest quantum of gold imports in the last 6 years, as seen in the chart of annual gold import since 2015-16 shown below.
year progressed, with a dip in September 2020 before finishing the year on a buying spree. The month-wise gold import trend during FY 2020-21 is shown below
Figure 1-Gold Import over the years
Within FY 2020-21 too, there was a muted beginning in Gold imports thanks to the outbreak of the COVID-19 pandemic just as the fiscal year started. Thereafter, the imports picked up as the
CHAPTER 1: GOLD SMUGGLING IN INDIA: EMERGING TRENDS 3
Figure 2-Gold Import during FY 2020-21
(Source: Ministry of Commerce)