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Dhanteras sees strong demand for gold, silver ornaments; traders expect sales to surpass last year’s level

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New Delhi, Nov 10: The sale of gold and silver on the occasion of Dhanteras kickstarted on a positive note as the softening of precious metal’s prices drew a good crowd to stores across the national capital.

Recent falls in gold prices has given a confidence to the traders of surpassing the last year’s sales figures.

The gold prices have recently fallen by Rs 800-1,500 per 10 gram (24 carat) from the peak of Rs 63,000 on October 28.

Minal Srivatsava, 48, who had come to buy a gold chain for her husband on the occasion of Dhanteras at a Lajpat Nagar-based jewellery store, said: “We wait for the Dhanteras to buy jewellery.”

“The store is a bit crowded today as people are here to buy the jewellery or coins but I will buy a gold chain for my husband,” she added.

Most of the jewellery stores in the national capital witnessed significant footfall on the day.

Eshwar Surana, Managing Director, Raj Diamonds said: “We saw robust demand during this Dhanteras and have already been witnessing strong footfall across our showrooms… Overall we witnessed surge of around 20 per cent in demand this time compared to last year.”

He said: “We also witnessed a surge in advance bookings, with around 15 per cent of customers already reserving their favourite diamond jewellery for Dhanteras.”

Surana said that in terms of design, the diamond jewellery featuring “prized coloured gemstones” is becoming a big trend during this season.

“Along with Diwali demand, this positive trend will gain momentum as lakhs of weddings are planned in the coming months. This optimism is fueled by positive consumer sentiment, driven by a rapidly growing economy, increased disposable income, and the burgeoning influence of Gen Z and millennials,” Surana said.

“We are confident that the demand momentum will continue to further accelerate till the end of the year,” he added.

Meanwhile, commenting on the buying trends on the occasion of Dhanteras, Ajoy Chawla, CEO, Jewellery Division, Titan Company Ltd said that over the past three weeks of this festive season, “we have observed a significant upswing in customer sentiment”.

Roy said that the recent cooling of gold prices, coupled with the upcoming Dhanteras festivities on Friday and Saturday, serve as additional positive factors that “instill confidence in us”.

“We are optimistic about achieving new highs in our sales and performance this festive season,” he said.

Suvankar Sen, MD and CEO of Senco Gold and Diamonds, said: “We have seen an overall growth of 10-12 per cent in terms of value.”

“Due to the higher gold price and recent fluctuations in its prices, volume growth has been in low single digits, while value growth has been in low double digits,” he added.

Sen further said that notably, “we have experienced a substantial 25-30 per cent growth in diamond jewellery, which shows that the younger generation is willing to experiment with more Western designs”.

He said that there has been a significant uptick in men’s jewellery, including chains and rings, with a remarkable 15 per cent growth.

“Either they are purchasing for themselves or their spouses are buying for them, or brides are selecting for their grooms,” Sen added.

He further said that platinum has also performed well, with 15-20 per cent growth. “This suggests that young consumers are interested in white metals, such as platinum and rose gold. We have seen customers footfalls across categories, including wedding shoppers and those looking to make auspicious purchases for Dhanteras. Overall sentiment was very positive and despite the challenges of high prices and global uncertainty, Indian consumers continued to show faith in gold and diamond jewellery, as they enthusiastically celebrate Dhanteras.”

Bablu Kumar Singh, who bought a 20 gm silver coin on Dhanteras, said that the occasion is meant to buy some gold or silver items. “Thus have bought a 20 gm silver coin of MMTC.”

Vikas Singh, MD and CEO of MMTC-PAMP said: “Gold holds profound cultural significance, especially during Diwali and Dhanteras. These occasions witness families embracing age-old customs of purchasing gold, as an investment and a cherished ritual. Adding gold to an investment portfolio is a timeless strategy since it has consistently proven its worth as a safe and reliable investment over the years.”

“As a time-honoured, secure investment, gold will continue to act as a symbol of our traditions and harbinger of prosperity. Therefore, we anticipate robust demand during this festive season,” he added.

IANS

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