Now, India has outpaced China in yet another area gold jewelry consumption. In 2024, India consumed 563.4 tons of gold jewelry, surpassing China’s 511.4 tons, making it the world’s largest gold jewelry market.

Driven by rising gold prices and increased investment, India’s total gold demand grew from 761 tons in 2023 to 802.8 tons in 2024, marking a 5 per cent annual increase. Investors took advantage of soaring prices, boosting investment demand from 185 tons in 2023 to 240 tons in 2024.

However, gold imports declined from 744 tons in 2023 to 712.1 tons in 2024, indicating a shift toward recycled gold and domestic supply.

Gold prices surge 28%

Gold prices surged 28 per cent in 2024, and have already risen 11 per cent in 2025. This upward trend has encouraged investors to pour more money into gold, expecting further gains. Geopolitical uncertainties, central banks’ gold purchases, and expectations of loose monetary policies have made gold a safe-haven investment against inflation and market volatility.

Tensions in the US-China trade war escalated after China imposed retaliatory tariffs on US imports, increasing demand for safe-haven assets like gold. As a result, gold prices hit an all-time high on Wednesday. With market instability and ongoing trade conflicts, gold has remained a key focus for traders and analysts.

Growing investor interest in Gold

India is now the world’s largest gold consumer, with rising demand for jewelry and investment driving overall gold consumption. The soaring gold prices have further attracted investors. However, declining gold imports indicate a shift toward domestic supply and recycled gold. Amid global uncertainties, gold has emerged as a preferred safe investment.

Market analysts continue to monitor gold price fluctuations closely. Geopolitical developments and economic policies will continue to influence prices. Investors are advised to exercise caution when investing in gold. Keeping a close watch on market trends and consulting experts can be beneficial.