Golden Glimmer: Akshaya Tritiya Spurs Surge in Indian Gold Sales

On Akshaya Tritiya, India, the world's leading gold consumer, observed a significant uptick in gold sales despite high prices. Jewellers report a 35% value increase in gold sales compared to last year, driven by consumer traditions and stabilizing prices, contributing to market resilience despite economic challenges.

The auspicious Akshaya Tritiya festival marked a significant surge in gold sales across India, the world's largest gold consumer, on Wednesday, despite soaring prices. The All India Gem and Jewellery Domestic Council (GJC) forecasted a 35% increase in gold sales in value terms over the previous year.

In contrast to stagnant volumes, the rise in value signifies a bullish market sentiment, with higher consumer engagement noted in southern regions initially, expanding later in states like Maharashtra. GJC Chairman Rajesh Rokede highlighted that while some consumers hesitated at peak prices, the stabilization has prompted renewed purchasing.

Even as gold trades between Rs 99,500 and Rs 99,900 per 10 grams—37.6% higher than Akshaya Tritiya in the prior year—buyers remain undeterred. PNG Jewellers' Saurabh Gadgil noted strong consumer interest persists, buoyed by old gold exchange schemes to offset costs. Despite an 8-9% dip in sales volume, value is expected to rise 20-25%, demonstrating market robustness.

(With inputs from agencies.)