Jewellers see no sparkle in sales this Dhanteras

Gold and jewellery sales may remain flat this Dhanteras amid sluggish demand from consumers despite relaxation in KYC norms for purchase, even as people fancied automobiles and electronic items, according to industry players. However, organised players like P C Jewellers, Kalyan, Talwar Sons and Jewellers are expecting 10-35 per cent jump in sales, thanks to the growing trust in quality and designs of products and competitive prices.

In India, unorganised players make up for roughly 70 per cent of the country's gold sales. Dhanteras is considered to be an auspicious day for buying gold, silver and other valuables and is largely celebrated in northern and western parts of India. "Total sales will be same at last year's level. Gold demand has been dented because of various reasons," All India Gems and Jewellery Trade Federation (GJF) Chairman Nitin Khandelwal told PTI. Disposable income has not picked up and most buyers are restricting their purchase to tokens even as gold rates are ruling at comfortable level, he said, adding that exact sale figures will be known midnight.

Even though there is a positive buying sentiment after withdrawal of KYC (know your customer) requirement for purchase of over Rs 50,000, but most customers are preferring to buy automobiles and electronic items on EMIs. "In jewellery industry, the EMI facility is allowed for selling 18 carat gold, platinum and diamond jewellery and not 22 and 24 carat gold jewellery," Khandelwal said. Gold prices are ruling at Rs 30,710 per 10 gram on Tuesday.