The country’s jewellery industry is expecting a multifold growth in online gold sale in the coming years.
“Online buying accounts for about 2% of the total sales now and is expected to grow considerably. The new generation, which does not believe in the custom of ‘ghar ka jeweller’, is turning to e-commerce sites to buy gold,” said Surendra Mehta, secretary of India Bullion and Jewellers’ Association, on the sidelines of the 15th India International Gold Convention held here.
Rajesh Khosla, chairman emeritus of MMTC-PAMP India Pvt Ltd, said the prospects of a spike in online gold sales seemed bright, especially with the growth in mobile penetration.
The industry representatives said the country’s gold demand had declined by 8% at 187.2 tonnes during April-June compared to the second quarter of last year, driven by high local prices and seasonal factors, according to a World Gold Council (WGC) report. The total gold demand stood at 202.6 tonnes in the second quarter of 2017, and the total demand is expected to be in the range of 700 to 800 tonnes this year, they said.
Senthil Nathan S., Deputy Secretary, Ministry of Commerce, inaugurated the convention. A release issued by the organisers quoted him as saying that the new government policies were mainly aimed at building institutional, regulatory and market infrastructure to streamline the industry, bring transparency and increase the global acceptance of gold from India.
Suresh Prabhu, Minister of Commerce and Industry and Civil Aviation, said in his message that India had huge resources, market infrastructure, and the potential to become the export hub for gold and gold products.
The four-day convention will have special sessions on the ‘Changing Face of gold imports into India’, NITI Aayog recommendations titled ‘Make in India in Gold,’ ‘Proposed Bullion Exchange of India’, ‘Financialisation of Gold’, and ‘Proposed Domestic Council Skilled Development and Employability’. Over 400 delegates representing the industry from the country and abroad are attending the event.