There was some encouraging news at the macro level although not at the micro level. Indian gold imports for June 2020 fell 86% to just 11 tonnes compared to 77.7 tonnes in June 2019. This sharp fall was largely due to high gold prices, ban on international travel as well as due to most jewellery shops being shut. Indians have been averse to buying gold at peak prices.

Jewellers have also cut down their imports proportionately with the tepid demand for jewellery. The largest demand centres like Chennai, Mumbai and Delhi have been under strict lockdown due to the rising Coronavirus cases in these cities. However, for the government this saves precious foreign exchange being used for unproductive imports.