Muthoot Exim Pvt Ltd, the precious metals division of Muthoot Pappachan Group, launched its gold recycling centre here. The company plans to open 14 or 15 more such centres by the end of 2017. Muthoot Gold Point here is the eighth centre in the country, after Coimbatore, Chennai, Delhi, Mumbai, Kolkata, Ahmedabad and Vijayawada.

The company has claimed that the scheme has helped the government cut down on import of gold by garnering and channelling domestic unused gold to productive avenues.

According to estimates, it said, gold recycling has not been tapped to its full potential in India and it’s an activity largely undertaken by players in the unorganised sector.

The company, through its centres, will buy old and used gold items directly from customers; reprocess and refine this gold and then supply the refined bars for domestic consumption with the objective of reducing dependence on gold imports, it added.

Following launch of the initiative in November 2015, the company was able to recycle 140 kg of used gold.

“We plan to launch five-six more such centres this financial year,” Thomas John Muthoot, CMD, Muthoot Pappachan Group, said.

Muthoot Exim plans to recycle about one tonne of scrap gold by 2018, the statement added.

The centre here was launched jointly by Thomas John Muthoot and Keyur Shah, Chief Executive Officer, Muthoot Precious Metals Division.