According to the SBI Research report titled, Coming Of (a Turbulent) Age: The Great Global Gold Rush, new gold mines have been discovered in Odisha, Madhya Pradesh, and Andhra Pradesh in 2025.

In Odisha, the recent discoveries of new gold mines were in various districts, Deogarh, Keonjhar, and Mayurbhanj, with an estimated 1,685 kg of gold ore detected by the Geological Survey of India (GSI).

In Madhya Pradesh, the discovery of gold in Jabalpur is estimated to run into lakhs of tonnes, and in Kurnool district in Andhra Pradesh, India’s first large private gold mine is expected to produce 750 kg of gold annually.

The discovery of new gold mines in India in 2025 will help the nation to ease pressure on imports and is positive for India’s current account balance, notes the report.


Indian Gold Market

India is one of the largest gold markets, with Indian families holding over 25,000 tonnes of physical gold, much more than the central bank’s holdings put together.

India is not a big gold-producing country. The domestic supply of gold is only a fraction of the total supply of Gold in India, with imports contributing around 86% of the total supply in 2024 as per the World Gold Council estimate.

In 2024, India had a demand of over 800 tonnes of gold and that’s what it ended up importing to meet its needs.

The latest data from the Ministry of Commerce has revised gold imports for 2024 – from 724t to 812t – mainly due to revisions in import figures for the period from July to October, 2024.

Total consumer demand of Gold in India was 802.8 tonnes in 2024, which is 26% of the global gold demand, taking India at 2nd rank, next just to China with consumer demand of 815.4 tonnes.

Central banks worldwide have been a big buyers of gold since 2022. The RBI gold reserves have also risen to nearly 880 tonnes in 2025.

Gold Prices
After jumping over 50% YTD, gold is trading around $4,077 and the gold price today in India is Rs 1,22,700. The high prices are impacting jewelry demand in Q3 2025; consumer demand of gold declined by around 16% yoy.

The report says that the recent discoveries of new gold mines in India could help ease the pressure on imports and are positive for country’s current account balance – “Recent price volatility — with gold touching record highs in October 2025 — is likely to put moderate impact on CAD. Assuming price of gold remains around $4000/ oz in the remaining months and considering quantity of gold imports as 90% of last year it will increase our CAD by at most 0.3% of GDP. We believe overall CAD is expected to remain comfortable around 1-1.1% of GDP in FY26.”

Courtesy : Financial Express