For first time in nearly a month, Gold traded at discounts in India

Indian bullion dealers this week offered a discount of up to $12 per ounce over official domestic gold prices – inclusive of 6% import and 3% sales levies, down from last week’s premium of up to $70.Domestic gold prices were around 154,000 rupees ($1,697.39) per 10 grams on Friday after sliding as low as 133,687 rupees last week.

Bullion dealers and jewellers have largely stayed away from purchases from banks, anticipating that the government will allocate around 80 metric tons of gold imports from the UAE at concessional duty this month, said a Mumbai-based bullion dealer with a private bank.

Gold and silver shipments from the UAE attract lower import duties under the Comprehensive Economic Partnership Agreement (CEPA) between the two countries.