Akshaya Tritiya Offers Golden Opportunity Amid Global Uncertainty
A golden opening awaits Indians this Akshaya Tritiya in the middle of global gloom
The Economic TimesImage: The Economic Times
This Akshaya Tritiya, on April 19, 2023, presents a favorable opportunity for gold purchases in India, with prices down nearly 15% from recent peaks, making it an attractive time for consumers. Despite global volatility and economic concerns, demand for gold remains strong, particularly for weddings and savings.
- 01Gold prices have corrected by nearly 15%, making it an attractive buying opportunity.
- 02Akshaya Tritiya is a significant gold buying festival, accounting for 15-20% of annual sales.
- 03Consumer sentiment remains strong despite geopolitical uncertainties, with early buying trends noted.
- 04Smaller jewellers face pricing pressures from larger chains but maintain customer loyalty through personal service.
- 05Industry forecasts suggest a 10-11% value growth for gold jewellery by FY2027, despite volume challenges.
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Akshaya Tritiya, celebrated on April 19, 2023, is a key occasion for gold purchases in India, traditionally linked to prosperity and wealth. This year, gold prices have corrected significantly, with 24K gold now priced between โน1,51,000 to โน1,54,000 per 10 grams, down nearly 15% from recent highs. Analysts like Aamir Makda from Choice Broking view this as an ideal buying opportunity, especially as the festival typically accounts for 15-20% of annual gold sales. Despite global tensions affecting market sentiment, jewellers report strong demand, particularly for weddings and savings. However, some industry experts caution that overall demand may not match last year's levels due to economic uncertainties. Smaller jewellers are adapting by offering competitive pricing and personalized service to retain customer loyalty amidst pressure from larger chains. Looking ahead, the gold jewellery industry is projected to see 10-11% value growth by FY2027, driven by higher prices and store expansion, although volume growth remains uncertain.
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The drop in gold prices provides an opportunity for consumers to invest in gold for savings or wedding purchases, potentially influencing household financial decisions.
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