Goldsmiths expect 30-40% drop in sales this Akshay Tritiya

Mumbai: The festival of Akshay Tritiya, which comes up Wednesday April 30, will be a testing time for sales of gold jewellery. The retail price of the precious metal is hovering at a record high of Rs 1 lakh per 10gm, leading to a massive fall in projected volumes of purchase. Traders expect a 30-40% drop in demand this season. They say mostly small items worth 1-2gm will find approval from mahurat buyers. Goldsmiths have stocked lightweight items which look stylish — the gold element, however, is meagre in these pieces.
On Monday, IBJA's rate of 24 carat gold was Rs 95,600 per 10 gm excluding GST and making charges, which amounts to Rs 98,000-1,00,000 in retail shops. Meanwhile 22 carat gold cost Rs 87,600 per 10 gm while silver cost Rs 97,600 per kg. At Akshay Tritiya 2023, 24k gold rates were Rs 60,000 which rose to Rs 71,000 in 2024.

Kanaya Kakad, joint treasurer of IBJA's (India Bullion and Jewellers Association) governing board, defended, "Gold has given returns of 25-30% in the past one year. It is the best investment, unlike mobile phones, cars or laptops, which incur depreciation. I advise Indians to invest in gold at every festival — like SIPs. This year of course, we expect a 30-40% drop in demand given the high rates. Several customers are bringing their old gold for recycling, and lightweight jewellery is in demand."
Jitendra Jain of Jugraj Kantilal & Co said, "The current gold market dynamics are indeed interesting. With prices at an all-time high, many customers are hesitant to make large purchases, leading to a decline in demand. However, small denomination gold coins remain popular. The assumption is that gold prices will continue to rise. Global economic uncertainty and stock market volatility may be driving this trend. Investors turn to gold as a hedge against inflation, currency fluctuations, and market instability."
In Dadar, goldsmith Prakash Jain of Prakash Jewellers offered commonsense logic. "People's salaries have hardly risen in the last five years, whereas the price of gold has risen from Rs 40,000 in 2019 to Rs 1 lakh in 2025. The average middle class householder who is burdened by stagnating wages coupled with inflation is unable to afford gold."