The glitter of gold attracts buyers on Dhanteras! The price cut, bumper sales led to crowds gathering at jewellers

The recent fall in gold and silver prices has encouraged buying of the precious metals on Dhanteras. Jewelers expect the value of gold sales to increase by 15-20 percent year-on-year on this occasion to Rs. 60,000 crore, but due to relatively high prices, the sales volume may remain almost the same as last year. All India Gems and Jewelery Domestic Council (GJC) Chairman Rajesh Rokde said that the initial estimate of total gold business across the country on Dhanteras, which is considered auspicious for buying gold and silver, is around Rs. 60,000 crores.

Price drop

He said that the buying sentiment in the market has improved due to the softening of gold prices in the last four to six months. Customers are opting for light weight and pocket friendly products along with 18 carat jewellery. Along with this, the GJC also expects a 30 percent increase in the volume of silver sold on Dhanteras and a 10 percent increase in the price. The price of 24 carat gold in the national capital on Friday was Rs 10 per 10 grams including tax. 1,46,300 was. This price is about 20 percent lower than the record level of Rs 1,83,000 recorded on January 29. However, it was priced at Rs 1,32,400 on Dhanteras last year. During this period, the price of silver also rose in January this year to Rs. 4,04,500 per kg, down 52.4 percent to Rs. 1,92,500 (including tax) has been raised. However, it is still higher than last year’s Dhanteras price of Rs 1,70,000.

What kind of purchase

Avinash Gupta, Vice Chairman, GJC, said that this time the customer traffic at the shops has been more than last year and the advance bookings have also strengthened the market sentiment. West and North India markets are witnessing more activity. MMTC-Pamp MD Samit Guha said, “Instead of buying large sizes, customers are now buying smaller coins and bars and investing in installments at different prices.” Ramesh Kalyanaraman, executive director of Kalyan Jewellers, said that the fall in prices has led to an additional increase in festive shopping. Customers are buying pendants, bangles, chains and small gold and silver coins. Demand is also good in smaller cities like Jaipur, Dehradun, Surat, Belagavi, Arah and Raipur.

Sales have increased by 25 percent

Many jewelery sellers have said that sales will increase on Dhanteras. Senko Gold Chief Executive Officer Shubhankar Sen said that the company’s sales value has increased by more than 25 percent compared to last year. This has contributed to increased customer traffic and shopping for weddings. According to Balram Garg, managing director of PC Jewellers, the company’s sales have increased by 30-35 per cent and value by 45-50 per cent on Dhanteras. The All India Jewelers and Goldsmiths Federation said that in the last few days the sale of gold and silver across the country was Rs. 66,000 crore has been exceeded. Delhi’s bullion market has a turnover of over Rs 10,000 crore.

Trend of new gold in exchange for old gold

Kirit Bhansali, chairman of the Gems and Jewelery Export Promotion Council, said higher prices are making consumers more deliberate in their purchasing decisions, but that has not dampened their willingness to buy. The market is being supported by the demand to exchange old gold and buy new jewelery for weddings. World Gold Council Chief Executive Officer (India) Sachin Jain said that customer traffic at jewelery shops was good. Besides jewellery, customers are also buying coins, gold bars, exchange traded funds (ETFs) and digital gold.