‘Jewellery sales to jump by 35% during Dhanteras’
Jewellery sales are expected to surge by up to 35 per cent during Dhanteras, traditionally the country’s busiest gold buying period, compared to last year, industry experts said.
‘There is a lot of pent up demand and the gold price this time is also ruling at a very comfortable rate of about Rs 27,200 per 10 grams. Going by these fundamentals, we are expecting 30-35 per cent growth in sales during this Dhanteras compared to last year,’ jewellery retailer Manubhai Jewellers Director Samir Sagar said.
Last year, the prices during this time ruled at Rs 29,000 per 10 grams, according to industry data.
Dhanteras is celebrated before the festival of lights, Diwali. Sagar said the retail buying has been picking up and the movement will be more on wedding jewelleries as the marriage season follows immediately after the festivals. Echoing a similar view, Senco Gold and Diamonds Executive Director Suvankar Sen said there is a positive sentiment in the market and among the consumers since the past one month.
‘Prices have come down from Rs 28,500 at the beginning of the year. This has generated demand in the market for gold during the festive season,’ he said. Sales are expected to grow by 15-20 per cent from last year and the Rs 5,000-1,00,000 ticket size will see maximum movement, he added.
Religare Securities President ( retail and distribution) Jayant Manglik said sales will be very high compared to last year as there is a lot of pent up consumer demand. ‘People were waiting for the prices to come down. We expect a significant growth in sales this year during Dhanteras, which might be twice that from last year,’ he added.
Another reason for the growth in demand might be the expected upward movement of gold prices, which is likely to reach Rs 28,000 by the month-end mainly triggered by high local demand and downward trend in global equity markets which is diverting capital towards commodity market, Manglik said.