Gold demand picks up on Akshay Tritiya eve in Kolkata

KOLKATA: Demand for gold jewellery picked up in Kolkata and sub-urban areas on the eve of Akshay Tritiya, despite gold prices firming up a bit in last couple of days. While sales remained bullish, the festive mood among the buyers in Kolkata was dampened this year, felt jewellers.
Gold prices have been on a roller-coaster ride in the past seven days with prices varying by more than Rs 700 per 10 grams (for 22 karat gold). On May 1, gold price hovered around Rs 31,920 per 10 gram and came down by Rs 170 the next day. On May 3, prices came down even further by Rs 170 before dropping further to Rs 31,200 per 10 gram.
“On Tuesday, gold price in Kolkata market was around Rs 31,490 but that has not dampened buying of jewellery. The average bill size ranged between Rs 35,000 and 45,000,” said a jeweller. “People availed the three amrit-jog on Tuesday when they bought jewellery,” the jeweller added. On Tuesday buying volume was high between 10am and 1.10pm and 9pm and 11.11pm. “There was another amrit-jog in the afternoon, but buyers were thin as they avoided the heat,” the jeweller added.
“We are seeing a healthy double-digit growth as compared to last year. We are looking at healthy gold and diamond jewellery sales in the next few hours till the end of the day’s closing,” said Sandeep Kulhalli, senior VP (retail and marketing) of Tanishq.
Sub-urban areas have also witnessed better sales this Akshay Tritiya, felt jewellers. “There are areas like Barasat and Barrackpore where the demand has been high this year. Apart from buying for the wedding season, people also prefer to invest in gold when the markets are uncertain,” said Rupak Saha, zonal member of Gem and Jewellery Trade Council of India. Jewellers felt that with the Sensex touching 39,000 mark, investors are finding valuation of stocks too high.
“There has been demand of lower ticket size affordable and light weight jewellery which people can use,” said Suvankar Sen, executive director of Senco Gold & Diamonds. While Sen did not witness much of a growth compared to last year, he said that online sales have gone up by almost 30 per cent.
Anjali Jewellers has however been witnessing sales even before the Akshay Tritiya. “The response has been quite strong this season as we have been celebrating Akshay Utsav where we have been encouraging clients to buy jewellery pre-Akshay Tritya. Since it’s an auspicious day, a lot of wedding shopping also takes place on this day,” said Annargha Uttiya Chowdhury, director of Anjali Jewellers Pvt Ltd.