Gold recycling gained pace in India as consumers preferred to cash in on prices at a week high, which deterred physical traders from placing fresh orders as wedding buying tapered off. "There is no investment demand as well. In fact, people are selling coins, bars and jewellery," said Prithviraj Kothari, president of the Bombay Bullion Association, a trade body, adding "demand is slow as people don't have money and inflation is high and they don't have savings." Demand in the third quarter to September fell 20 percent to 200 tonnes, and the sentiment is expected to continue in the last quarter, traders and analyst said. The current quarter covers the peak festival and wedding season, when Indians traditionally splurge on gold jewellery and investments. Rising scrap could dent imports, which Kothari expects to be at 850-900 tonnes in 2011, down 11 percent from last year.
