India’s gold market sees growing demand for informal under-the-counter cash sales as record-high prices and high tax burdens push some buyers toward transactions that are less likely to be documented.
Bloomberg and NDTV both report that, in parts of India’s fragmented retail trade, some dealers are offering bullion and gold jewellery through cash deals that may not include invoices or traceable paperwork. NDTV says discounts in the cash market can reach as much as $200 an ounce versus prevailing domestic prices, with the quoted rates varying widely because trades are negotiated individually rather than against a single benchmark.
The outlets frame the shift as a response to incentives created by high prices and taxation, which affect the formal channels. While Bloomberg emphasizes the role of under-the-counter cash sales in limiting traceability for authorities, NDTV focuses more on the magnitude and variability of the discounts available in informal deals. Both accounts describe a market structure where prices and terms differ across sellers and locations, reflecting the broader informal nature of gold trading.
