MUMBAI (Reuters) - India's gold demand picked up on Tuesday afternoon as traders sought to replenish stocks for festival demand as domestic prices stayed near a one-week low, dealers said. At 1:19 p.m. The most-traded gold October contract was 0.17 percent higher at 14,766 rupees at 1:36 p.m., near its recent low of 14,721 rupees reached on Aug. 4. The contract shed about 1 percent in the last session, when a strong dollar overseas pressured the yellow metal. "I did around 250 kg yesterday evening and still there is demand," said a dealer with a state-run bank in Mumbai. India's festival season is underway and gold traders are hopeful of a rebound in gold demand. "I have a lot of orders in the range of $930-935 (an ounce)," said another dealer with a private bank. The world's largest consumer of gold will celebrate Janmasthami and Ganesh Chaturthi this month.

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