Bullion market booms as buyers line-up post drop in prices

 

 

 

Jewellers in the market are smiling these days as they are witnessing a sudden pick-up in demand for jewellery on account of drop in gold and silver prices. “At present the market is witnessing a strong demand for jewellery. Already a large number of consumers are taking advantage of the lower gold and silver prices and are buying before the prices move up again,” said Rajesh Rokde, Director of Rokde Jewellers, Secretary of Nagpur Sarafa Association and Director of All India Gem and Jewellery Domestic Council (GJC) while speaking to The Hitavada. Generally it is observed that consumers avoid buying jewellery during Pitru Paksha, but this season is different as a large number of people are booking jewellery and taking delivery during the Navratri celebrations. Most consumers are price conscious, and are taking benefit of the decline in gold and silver prices. Kishore Sheth, Director of Batukbhai and Sons Jewellers, Dharampeth said, “With the fall in the gold and silver prices, we are witnessing a large number of footfalls and our showroom is flooded with people from the past few days. A large number of consumers are buying not only for the wedding season but also festive buying is taking place on a huge scale. A large number of jewellery showrooms are also witnessing the trend with good footfalls and buying activity taking place.

 

In the city, the price of gold is being quoted at Rs 57,000 per 10 gram on October 5, 2023 as compared to Rs 60,000 per 10 gram on August 1, a significant fall of Rs 3,000 per 10 gram. Similarly, price of silver is being quoted at Rs 68,400 per kg on October 5, as compared to Rs 75,300 per kg on August 1, a steep decline of Rs 7,300 per kg. (Note: The prices of gold and silver are without Goods and Services Tax (GST) and Hallmark charges). Within a short span of 2 months, there has been a considerable drop in prices of both gold and silver, he pointed out. Kishore Sheth expects the price of gold to surpass the Rs 60,000 per 10 gram levels by end of this year. “We expect this festive season to be one of the best as there is strong demand for jewellery coupled with lower prices. Apart from this, there are a large number of weddings taking place this year.

 

All these factors will push demand for gold resulting in higher prices.” More young women are working these days and financially independent. They prefer to wear light weight every day use jewellery. Thus, there is also high demand for light weight jewellery, he said. Rajesh Khandelwal of Khandelwal Jewellers said, “This is the right time to purchase gold as the prices have fallen. These are the lowest levels since the past six months. People with marriages at their homes or modern women that are fashion conscious should not miss this opportunity.” Shrikant Bhandarkar of Bhandarkar Jewellers said, “Consumers should purchase gold and silver jewellery whenever the prices fall. This will provide greater appreciation to their investment. It has been witnessed that gold and silver prices have steadily increased over a long period of time.”