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CHENNAI: Amidst escalated prices, gold demand in the September quarter fell 16 per cent to 209 tonnes but went up by 23 per cent to Rs 2 lakh crore. While jewellery demand shrunk by 31 per cent investment demand went up by 20 per cent. Demand for gold in India for Q3 2025 was at 209.4 tonnes, down by 16 per cent from 248.3 tonnes in the same quarter last year. However, in value terms, demand went up to Rs 2,03,240 crore, up by 23 per cent against Rs1,65,380 crore in Q3 FY 2024. Jewellery demand decreased by 31 per cent to 117.7 tonnes from 171.6 tonnes. Investment demand was up 20 per cent at 91.6 tonnes against 76.7 tonnes in the year ago quarter. Rising prices made people invest in gold. In value terms, investment demand went up by 74 per cent to Rs 88,970 crore. Despite higher prices, recycled gold in the quarter was 7 per cent down to 21.8 tonnes and prices kept imports lower at 194.6 tonnes – 37 per cent down from 308.2 tonnes. Average quarterly price without import duty and GST in Q3 2025 was Rs 97,074.9 in comparison to Rs 66,614.1 in Q3 2024. With higher prices, WGC has limited its annual demand forecast to 600-700 tonnes against 700-800 tonnes predicted in the March quarter. “With total gold demand from January to September at approximately 462.4 tonnes, we anticipate full-year demand between 600 and 700 tonnes, more towards the higher end of range," said Sachin Jain, Regional CEO, India, World Gold Council. However, on the global front, quarterly gold demand reached 1,313 tonnes or $146 billion in value - the highest quarter for demand on record. Growth was driven primarily by investment demand which accelerated in Q3 reaching 537 tonnes, up 47 per cent, and accounted for 55 per cent of overall net gold demand. This momentum was driven by a powerful combination of an uncertain and volatile geopolitical environment, US dollar weakness and investor “FOMO” as the price climbed higher.
