This article in the section news of Numismatica Ranieri it will offer a focus on the indian market gold inspired by an investigation of the World Gold Council. For more information on the trend of the gold you can always refer to the page of the gold coin investment, daily updated according to the evolution of the market.
Focus on the indian market, gold
The World Gold Council, the worldwide association that brings together the main actors of the supply chain of gold – mining companies, refineries, manufacturers, bullion, and jewelry – has led to a new survey on’ India, that is, along with China and the United States one of the largest markets in the world for the precious metal.
In India, the gold, in fact, is not only a safe haven but also a traditional part in family celebrations, particularly weddings; it is the practice, in fact, that even brides-to-be from families of modest bear “in gift jewelry for many dozens, if not hundreds of grams up.
If we consider the indian population, amounting to just under 1.4 billion inhabitants, it is evident that the sub-asian continent can move the needle of the balance of the planetary in terms of gold demand and market uptake.
From the interviews of the WGC – almost 2300, of which about 1000 people living in rural areas and 1300 in urban areas shows that 29% of retail investors has never bought gold in the past, but it is open to the idea of buying in the future. Then, there is a significant opportunity for the industry to attract and grow the indian market.
The backwardness cultural widespread in India yes, on the other hand, 61% of those who have never bought gold in the past, but they would consider purchasing in the future, claiming that the lack of confidence in the product or in the industry is an obstacle to purchase.
65% of the potential new investors in indian gold claims to have gaps in their knowledge of the precious metal; for example, many do not understand what determines the price of gold or does not believe that the purchase process is too difficult. “There is clearly the possibility – according to the WGC – to do more as an industry to facilitate investors ' understanding of the gold, and the process of purchasing gold”.
In 2018, the demand for gold in India has been of 760,4 tons and in 2019 has dropped a little. However, according to analysts, 2020 should be better in 2019, as a lot of pent-up demand could spill on the market since the rural economy –which includes a large part of the population is improving.