Gold imports seen at $38 bn to $40 bn in FY14: Rangarajan

Gold imports are likely to be around $38 billion to $40 billion in the current fiscal year to March 31, 2014, C Rangarajan, the economic adviser to the Prime Minister, said on Friday.

That would be down from last fiscal year's $53.8 billion in imports, which helped push India's current account deficit to a record 4.8% of gross domestic product.

In its report on the economy, the prime minister's economic advisory council, headed by Rangarajan, has projected gold and silver imports at $40 billion in the current fiscal year, of which gold imports alone would account for $38 billion.

The government and central bank have taken tough steps to curb demand in the world's biggest buyer of bullion, including raising import duty to a record 10% and making importers sell 20% of all purchases into the export market.