Gold traders scramble for supplies despite high premiums

MUMBAI (Reuters) - Gold traders and jewellers in India, the world's biggest buyer of the metal, were scrambling for supplies after the central bank restricted imports on a consignment basis, triggering a surge in premiums.

* In a bid to contain the surging current account deficit, the RBI restricted shipments on payment of margin money, except for genuine exporters.

* "There is no supply," said Prithviraj Kothari, managing director of Riddhi Siddhi Bullions Ltd., a gold importer in Mumbai, adding some sellers charged a premium as high as $20 an ounce.

* Riddhi Siddhi, which is a licensed importer, has also stopped placing indents after the RBI order, Kothari said.

* The actively traded gold for June delivery on the Multi Commodity Exchange (MCX) was 0.64 percent lower at 25,965 rupees per 10 grams, after hitting a low of 25,926 rupees, weighed by a stronger rupee and weak global leads.

* The rupee plays an important role in determining the landed cost of the dollar-quoted yellow metal.

* Global gold fell for a seventh straight session, in its longest losing streak since March 2009, as the dollar strengthened and investors cut exposure to the precious metal, fearing further drops and choosing equities instead.

* Silver for July delivery on the MCX was 0.96 percent lower at 42,845 rupees per kilogram.

(Reporting by Siddesh Mayenkar; Editing by Anupama Dwivedi)