High prices fail to deter gold, silver buyers

High prices of gold and silver failed to deter buyers on Dhanteras, as tricity-based jewellers witnessed an uptick in demand. Sources estimated sales growth of 10-15 per cent on a year-on-year basis.

Jewellers shared that gold continued to shine due to global uncertainties and geopolitical conditions, while silver was drawing substantial interest as an affordable option.

They said the customers were buying gold coins and jewellery not only for investment purpose but also following the age-old custom of purchasing the precious metal on this auspicious day.

“We are bullish over the demand. Frankly speaking, a jeweller sells much more on Dhanteras than what he does on an average on usual days. Customers are buying jewellery not just as an investment but also because it is a custom or tradition to buy the precious metal during these auspicious occasions. Moreover, most of the marriage season purchases are done during Dhanteras only,” said Anil Talwar, owner of Talwarsons.

The reason behind an increase in sales is positive sentiments and disappearance of unorganised sector due to stringent regulations like mandatory hallmarking. “Overall, the organised sector is growing, and fuelling the growth is youth who prefers to buy gold from organised sector than the un-organised players,” he added.

The gold price was about Rs 82,000 per 10 gram (24 carat) in Chandigarh on Tuesday, while that of silver was hovering around Rs 1,020 per 10 gm. Jewellers maintained that despite a 30 per cent surge in the yellow metal price since the previous Dhanteras, investing in gold at the current prices may still be a wise choice, which is bringing customers to the jewellery showrooms.

“Our members are anticipating a double-digit growth, as the auspicious day extends till Wednesday this year,” said Rajeev Sahdev, president, Chandigarh Jewellers Association. There are more than 300 jewellers in the tricity.

According to sources, the rising gold prices did have an impact on buying sentiments. However, the trend has steadied now. To push the sales, almost all Jewellers in the organised space are offering lucrative offers.

Utensil traders upbeat too

In normal days, people opt for glassware and bone china, aligning with their modernised modular kitchens, but on Dhanteras, they prefer traditional ware. Members of the Chandigarh Crockery and Bartan Association said utensils made of steel, brass, copper bronze and silver, ranging from dinner sets to tiffin boxes and water bottles, were in high demand. The association maintained that they are anticipating, at least, 10 per cent growth.