India’s Gold Demand Value Surges 23% In Q3 2025 Despite Drop In Volumes
India’s appetite for gold remained strong in value terms during the July–September quarter of 2025, even as total volumes dipped, according to the World Gold Council’s (WGC) Q3 2025 Gold Demand Trends report.
The total value of gold demand soared 23% year-on-year to ₹2,03,240 crore, underscoring the impact of record-high prices on consumer spending. However, overall demand slipped 16% to 209.4 tonnes, reflecting how elevated prices dampened physical buying.
Within this, jewellery demand fell sharply by 31% to 117.7 tonnes compared to the same period last year. Yet, in rupee terms, its value held steady at ₹1,14,270 crore, highlighting how gold’s emotional and cultural significance continues to support spending even when prices surge.
Investment Demand Shines Bright As Prices Surge
Investment demand uptick as volumes rise 20 per cent to 91.6 tonnes and value jumps 74 per cent to Rs 88,970 crores. The report attributes the value surge to higher average prices during the quarter.
Sachin Jain, Regional CEO, India, World Gold Council, says the quarter “showcased its inherent resilience and the significant impact of evolving price dynamics.” He notes that while volumes fall, “this robust growth in value, driven by high average prices, strongly reaffirms gold’s enduring appeal as a safe-haven asset.” On the investment side, he adds that demand “showed remarkable strength,” highlighting a “deepening strategic commitment among Indian consumers to gold as a long-term store of value.”
Imports And Recycling See Decline Amid High Prices
On supply, imports are 194.6 tonnes, down 37 per cent from last year’s quarter, and recycling is 21.8 tonnes, a 7 per cent decline. The report observes that these moves suggest households are holding on to gold rather than selling into the market. Prices remain elevated through the quarter, with the average at USD 3,456.5 per ounce and Rs 97,074.9 per 10 grams (excluding import duty and GST), shaping the shift from jewellery to investment-led buying.
Cultural Significance Keeps Jewellery Demand Resilient
Jain says cultural drivers stay important for jewellery even at higher prices, as its value holds steady despite the volume drop. “This indicates that despite higher prices, gold’s intrinsic cultural significance continues to drive purchases, with consumers adapting to the new price levels,” he says. Looking ahead to the festive and wedding season, he says retailers are prepared and sentiment is positive, saying “We anticipate robust demand across all categories, from traditional jewellery to investment products, as the market gears up for a vibrant festive and wedding season.”
Outlook: Full-Year Gold Demand Seen Between 600–700 Tonnes
Total demand is about 462.4 tonnes. The Council expects full-year demand between 600 and 700 tonnes, with the outcome leaning toward the higher end of that range, depending on seasonal buying and price movements into year-end.
(With Inputs From ANI)
Aishwarya is a journalism graduate with over three years of experience thriving in the buzzing corporate media world. She’s got a knack for decoding business news, tracking the twists and turns of the stock market, covering the masala of the entertainment world, and sometimes her stories come with just the right sprinkle of political commentary. She has worked with several organizations, interned at ZEE and gained professional skills at TV9 and News24, And now is learning and writing at NewsX, she’s no stranger to the newsroom hustle. Her storytelling style is fast-paced, creative, and perfectly tailored to connect with both the platform and its audience. Moto: Approaching every story from the reader’s point of view, backing up her insights with solid facts.
Always bold with her opinions, she also never misses the chance to weave in expert voices, keeping things balanced and insightful. In short, Aishwarya brings a fresh, sharp, and fact-driven voice to every story she touches.
