The bullion service comes with gold, silver, or other precious metals. Generally, bullion is used for business on the market. The value of bullion is generally determined by the value of its precious metal material, which is defined by its precision and mass.
The Indian government bought 200 MT of gold from the International Monetary Fund for $ 6.7 billion in 2009. This purchase has inspired India bullion market at tenth place among top global gold holders. This purchase indicates that the country's economy has come full circle and this is also a way to spread its wealth.
Trading of gold is known as bullion trading. India is the leading consumer and importer of gold in the world. Due to this, the potential of the India bullion market is very promising. Owing to the weak price of Dollar in the global market, the price of bullion is soaring.
IBMA or the Indian Bullion Market Association is a national level body that represents the Indian Bullion Trade and Industry. This body is an association of all leading bullion dealers and jewelry merchants who have tied up with the National Spot Exchange Limited. The idea of this association is to promote a professional organizational dedication towards the development and growth of the bullion industry in India.
There are a number of restrictions imposed on the import and export of gold as compared to any other commodities. The bullion market of the country is very fragmented and unorganized. The price of bullion varies very much in different parts of the country. The main reason for this is the lack of a benchmark that is valid throughout the country.
To take a trivial example, which of us ever undertakes laborious physical exercise, except to obtain some advantage from it