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Akshaya Tritiya: Gold sparkles as sales volume up over 25% from previous year

Akshaya Tritiya: Gold sparkles as sales volume up over 25% from previous year

The past many years had been bad for the sector as demonetisation and GST were big put-downers and this is the first Akshaya Tritiya since 2016 that is showing some visible volume uptick.

Akshaya Tritiya: Gold sale/Picture for representational purpose Akshaya Tritiya: Gold sale/Picture for representational purpose

Jewellers reported better footfalls on the auspicious day of Akshaya Tritiya on Tuesday with many reporting up to 25 per cent sales volume over the previous year. Lower retail prices of gold, and the marriage season boosted consumer sentiment in spite of the day being a working day, industry sources told PTI.

Retail gold prices have been trading around 7 per cent lower than last year at about Rs 32,000 per 10 grams.

The past many years had been bad for the sector as demonetisation and GST were big put-downers and this is the first Akshaya Tritiya since 2016 that is showing some visible volume uptick.

"Footfalls are good as there is a positive sentiment. Despite being a working day and the sweltering heat, there has been steady stream of people coming in to pick up pre- booked jewellery and also some token items from the morning. But the momentum gathered more steam after office hours and we expect more pick in the volume through the rest of the night," said Saurabh Gadgil, national vice-president of the India Bullion & Jewellers Association and chairman of the city-based PN Gadgil Jewellers. He said, as Akshaya Tritiya is more about light weight jewellery, the offtake is more on wearable items, gold and silver coins and wedding jewellery. "We are very positive and are expecting around 25 per cent volume growth over last year," he added.

"In the metros, we have had more young first-time buyers making token purchases, while in non-metros the sentiment continues to be positive. The Southern markets have done well with Kerala and Karnataka taking the lead. Delhi, Punjab, Rajasthan and MP have also responded well," he said.

UT Zaverys Kumar Jain said this particular muhurat on the Akshya Tritiya comes after 17 long years so people want to take advantage of it. "Mostly people are coming to pick up their pre- booked wedding jewellery. However, may are also coming in to buy token items for the day. As polling is over and there is free movement of bullion now. We expect 25 percent sales growth," he added.