With gold prices hovering near ₹1 lakh per 10 gm, the bullion industry expects consumer interest in the precious metal to continue during the auspicious occasion of AkshayaTritiya.
Consumers will likely show interest in buying the yellow metal in the form of coins, jewellery, studded jewellery, ETFs and digital gold. The industry is trying to woo them with advance booking, discounts and lower making charges, though high prices will likely dampen the offtake.
“There continues to be strong interest in gold coins and bullion … High gold prices may act as a dampener at times, but they also reinforce consumer confidence and interest in gold as a category,” Ajoy Chawla, CEO of the Jewellery Division at Titan, told businessline. He, however, was optimistic about the demand on the day considered auspicious for gold purchases.
Prices double on year
“Despite the price surge, it is expected that consumers in Kerala will buy gold but with a reduced intake. This is mainly because people consider the yellow metal as a good physical asset and an instrument for monetisation in their distress times”, said S Abdul Nazar, State General Secretary of All Kerala Gold and Silver Merchants Association.
He said gold prices have doubled since last year in the domestic market, though around 5 lakh families are expected to buy the yellow metal this season.
Gold prices were quoted at $3,319 an ounce during the weekend in the global market. In the domestic market, jewellery gold (22 carat) ruled at ₹95,248 per 10 gm.
Sachin Jain, Regional CEO, India, World Gold Council, said industry feedback suggests a strong buyer interest in various forms of gold, further solidifying gold’s role in Indian households.
Bookings on
“Despite external factors such as tariff-related uncertainties, gold jewellery retailers are well-stocked and optimistic about favourable buying behaviour. With seasonal and wedding-related demand also influential, robust gold purchasing is expected this festive season,” he said.
Kumar Jain, the Indian Bullion and Jewellers Association’s national spokesperson, said bookings for gold coins at the current levels have already started for Akshaya Tritiya.
He said the demand for gold will remain strong despite prices soaring in the domestic market. This is because consumers are convinced that prices will head north and will not decline anytime soon.
Moreover, jewellery purchases for the wedding season will begin from Akshaya Tritiya day, and it is expected to remain buoyant given consumers’ confidence, he said.
Discount offers
Nazar said the state association has contacted about 10 lakh customers and 12,000 jewellers in Kerala directly or indirectly as part of its strategy to encourage customers to buy gold on Akshaya Tritiya.
In Chennai, some of the jewellers are wooing customers with booking schemes. For instance, Pothys Swarna Mahal has pre-bookings wherein customers can pre-book jewellery at the lowest rate leading to the auspicious day and stay protected against price fluctuations.
Kalyan Jewellers is offering up to 50 per cent off on value-addition across all products, in addition to booking in advance by paying one-fourth of the purchase cost upfront, said Ramesh Kalyanaraman, Executive Director, Kalyan Jewellers.
Piyush Gupta, Director of Delhi-based PP Jewellers by Pawan Gupta, said, “We are preparing a grand BanglesMela across all our stores — Gurugram, Karol Bagh, and South Extension…. We’re offering an exclusive 5 per cent off on making charges until April 30.”
Aditya Modak, CFO & COO of Pune-based PN Gadgil & Sons, said his firm has launched its campaign for Akshaya Tritiya, featuring Hindi actor Mithila Palkar. It has also come up with heavy gold jewellery.
Long-term outlook supportive
Titan’s Chawla said if gold prices remain high or rise further, jewellers may see growth in average ticket sizes, even if buyer volumes stay muted.
Tata Mutual Fund, in its outlook for Akshya Tritiya, said short-term corrections are possible in gold as prices have rallied over 25 per cent in the past 6 weeks. Historically, it has taken 3-5 months for such a correction. However, long-term fundamentals remain supportive, it said.
(With inputs from Aishwarya Kumar, Bengaluru; V Sajeev Kumar, Kochi; TE Raja Simhan, Chennai, and Suresh Iyengar, Mumbai)
Published on April 26, 2025
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