Jewelers see many footsteps on Akshaya Tritiya – The New Indian Express

By Express press service

NEW DELHI: A 4.2% drop in gold prices and an element of revenge buying led to heavy footfall in jewelry stores across the country, which could lead to volume growth this Akshaya Tritiya, surpassing that of the pre-Covid year of 2019, according to commercial estimates.

The price of 24 karat gold (excluding GST) fell from Rs 53,388 per 10 grams on April 18 to Rs 51,130 on May 2. coins across the country, according to our feedback, with volume growth even compared to Akshaya Tritiya of 2019,” said Suvankar Sen, MD and CEO of Senco Gold & Diamonds. Sen declined to elaborate on exact numbers because the company has just filed a draft offering document with Sebi.

The main trade body, India Bullion & Jewelers Association (IBJA), whose rates are used to price gold sovereign bonds, estimates volumes at 23 tonnes this Akshay Tritiya, up 20% from 2019, counts given the “significant drop in prices”, according to IBJA National Secretary Surendra Mehta.

The rough estimate of volume growth that TNIE obtained from jewelers and trade experts across the country was 5-7% to 15-20%. “The higher pull for this Akshaya Tritiya could be due to lower gold price volatility over the past week, further aided by revenge buying and the festival holiday today (May 3 ),” said Ramesh Kalyanaraman, managing director of Kalyan Jewelers.

“While an increase in sales in southern markets was expected, the response from non-southern markets has also been extremely encouraging. We are encouraged by the significant increase in footfall, sales volume and value, even compared to the pre-pandemic days of 2019.”

Jewelers said demand trends over the past two years are not comparable due to Covid disruptions.
Aditya Pethe, a popular home jeweler in Mumbai, Goa and Indore Waman Hari Pethe, said his stores were “booming” with customer orders and he expected volume growth of 10-15% in its stores from 2019.

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