According to Suvankar Sen, MD and CEO of Senco Gold, gold continues to hold its position as a trusted asset during uncertain times. Despite potential short-term corrections, consumer confidence in gold remains strong, reinforcing its role as a go-to investment.
Gold prices have scaled new highs in India and globally as the dollar index weakens to a three-year low. In international markets, gold has touched levels of $3,475 an ounce and above, while in India, prices have crossed ₹99,000 per 10 grams.
The recent surge in prices—up nearly 25–30%—has made gold less affordable for many, and while the industry is expected to see healthy growth in value terms, volumes may take a hit.
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Sen anticipates a decline in volume of around 20–25%, as rising prices outpace the purchasing power of the average consumer. Nonetheless, overall revenues could still grow by 10–15%, driven by the higher ticket sizes of gold purchases.
With gold now priced at nearly ₹1 lakh for 10 grams, consumers are increasingly working within constrained budgets. As a result, jewellers are adapting by focusing on lightweight and affordable designs to meet evolving customer needs without compromising on aesthetics or value.
Varghese Alukkas, MD of Jos Alukkas Group, anticipates an increase in jewellery sales during the festive season. To attract customers, Jos Alukkas has launched promotional offers with advance bookings for Akshaya Tritiya.
Shreyansh Kapoor of Kashi Jewellers noted that with international gold prices nearing the $3,900 mark, consumers are facing increasing challenges in managing their budgets. As gold prices surge faster than most can adjust financially, buying behaviour is shifting. To meet this change, manufacturers are focusing on crafting lightweight, more affordable jewellery to stay aligned with customer preferences and spending capacity.
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