December imports drop to 20 T from 95 T yr ago source
Price rally dampens demand during December jewellers
2022 imports drop to 706 T from 1,068 T yr ago source

MUMBAINEW DELHI, Jan 12 Reuters India39;s gold imports in December plunged 79 from a year earlier to the lowest level in at least two decades for the month as a rally in local prices near record high dampened demand, two government sources told Reuters on Thursday.

Lower imports by the world39;s secondbiggest consumer of the precious metal could limit gains in global prices trading near their highest in eight months.

The drop in imports could help in bringing down India39;s trade deficit and support the rupee .

India imported 20 tonnes in the December, down from 95 tonnes a year ago, said a government official, who asked not to be named since he is not authorised to speak to the media.

In value terms, December imports plunged to 1.18 billion from 4.73 billion a year ago, he said.

The country39;s gold imports in 2022 dropped to 706 tonnes from 1,068 tonnes a year ago, another government official said.

India, which fulfills more than 90 of its demand through imports, spent 36.6 billion on the overseas purchases of gold in 2022, down from a record of 55.8 billion in 2021, the official said.

Retail buying faltered in December as prices started rallying on the weak rupee, tracking a rice in global prices, said Harshad Ajmera, a gold wholesaler in Kolkata.

Local gold prices hit a high of 55,365 rupees…