Even as gold jewellery prices have risen due to the higher GST levy, the demand is positioned to grow nearly 9 per cent in the financial year 2017.
"The gold jewellery demand is expected to grow by nine per cent in values and six per cent in volumes during FY 2017," rating agency ICRA said in a report.
Prior to the GST roll-out, there was opportunistic buying by consumers and traders and the coming months will ensure a favourable demand outlook attributed by the festive and wedding season.
Additionally, the GST rate on gold at 3 per cent, a marginal increase from earlier rates, is unlikely to impact sales, said ICRA Senior Group Vice President Subrata Ray.
Meanwhile, the credit profile of organised retailers is slated to improve on the back on formalisation of the sector and better financing by way of gold metal loans.
So if you're planning to invest in gold jewellery, it may be the right time to look at jewellery stocks as well.
Gold and silver have inched higher in trade and remained steady on Tuesday nearing two-week highs.
Gold prices on Friday marked the highest close of the month and their first weekly rise since early June.
Below are the four jewellery stocks that have returned over 500 per cent in the past 4 years that may do well in the future: