Akshaya Tritiya Gold Sales: Jewellers Expect Nearly Rs 16,000 Crore In Sales Despite Record-High Gold Prices

Jewellers expect to sell nearly Rs 16,000 crore worth of gold and silver on Akshaya Tritiya on Wednesday, even as high prices and a muted market dampen consumer sentiment.

Gold prices crossed Rs 1 lakh per 10 grams in retail markets last week, driven by strong investment demand. Although prices have eased slightly, the overall rise has weighed on jewellery purchases.

Despite the slowdown, jewellers are counting on Akshaya Tritiya to revive demand. The All India Jewellers and Goldsmith Federation estimates sales of around 12 tonnes of gold worth Rs 12,000 crore and 400 tonnes of silver worth Rs 4,000 crore.

Akshaya Tritiya witnessed jewellery sales worth approximately Rs 14,500 crore across the country in 2023. However, the Lok Sabha elections have led to a noticeable dip in trade activity in 2024, according to CAIT.

Nitin Kedia, Founder and National General Secretary of the Federation, said traders expect a 10–12% increase in value compared to last year. In volume terms, they expect to sell 13–17 tonnes of gold versus 15–20 tonnes in 2023.

The festival holds cultural and religious significance. Akshaya Tritiya, observed on Friday, is considered one of the most auspicious days in the Hindu calendar for buying gold. It also marks a favourable time for weddings, further boosting jewellery sales.

Pankaj Arora, president of the federation, said this year’s activity is lower than usual. “Typically, Akshaya Tritiya sees a surge in purchases, but this year, elevated prices have affected consumer demand,” he said.

Consumer preferences are also shifting. Sachin Jain, regional CEO at the World Gold Council, said buyers are looking for stability before making purchases. “Customers are buying on price dips and are showing more interest in lightweight jewellery,” he said.

The sales were already looking up ahead of Akshaya Tritiya, which is always a reason for customers to buy gold, Jain said, adding that it's the second most important day for gold purchase after Dhanteras, and that cultural aspect will stay.

Retailers have responded by adjusting their offerings. Shyamala Ramanan, Business Head of Mia by Tanishq, said demand for lower-carat jewellery has grown. “People’s budgets haven’t changed, but prices have. So they are choosing 18 or 14-carat gold over 22-carat,” she said.

Mia by Tanishq has expanded its collection of lightweight jewellery priced under Rs 1 lakh. “Earlier we operated largely in the sub-Rs 30,000 segment. Now, with more demand for 14 and 18-carat products, we’re targeting broader budgets,” Ramanan added.

Jewellers remain cautious but hopeful that the cultural pull of Akshaya Tritiya will help offset price-related headwinds.