Akshaya Tritiya: Bars, coins rule in gold sales in Ahmedabad

AHMEDABAD: In a break from convention, Akshaya Tritiya saw more gold being sold in the form of bars and coins than jewellery.
Estimates by India Bullion and Jewellers’ Association (IBJA) suggest that around 300kg gold was traded in Gujarat in a single day on Tuesday.
“Bars and coins accounted for an estimated 60% of gold sales across the state, clearly indicating that the yellow metal was more favoured as an investment option by buyers. Interestingly, 18 carat gold and other lightweight ornaments ruled jewellery sales since it is not only economical but also suited for daily wear,” said Jigar Soni, president, Gujarat, IBJA.
Gold price settled at Rs 52,900 per 10 gram in the Ahmedabad market on Tuesday, marginally down as compared to May 2.
Industry players said that while the demand was higher on the festive occasion, it was still low-key. In 2019, around 375kg of gold was traded on Akshaya Tritiya. This means that against Akshaya Tritiya in the pre-Covid period, the sale of gold was down 25% on Tuesday.
“The sales remained significantly upbeat as compared to the previous two years. In 2020, there was zero sale due to the lockdown whereas in 2021, sales remained muted due to the sinister second wave of Covid-19. This year, jewellers have some respite owing to the demand due to the festive muhurat,” said Hemant Choksi, an Ahmedabad-based bullion trader.
Jewellers across Ahmedabad had rolled out offers like discounts on making charges, which also boosted sales significantly.
“After two years of Covid-induced lull, the festive sentiment among consumers appears to be stronger, surpassing expectations. Sustained aggressive marketing and trade promotions have played a role in increasing in-store visits and leveraging the occasion,” said Somasundaram PR, Regional CEO, India at World Gold Council.
“Digital gold buying platforms also sound upbeat, with small buyers enthusiastically picking up the convenience of purchasing gold for as little as one rupee on their smartphone, without having to worry about purity and transparency. Even with gold prices at a high, the initial market feedback points to a buoyant Akshaya Tritiya, due to heightened interest in gold among consumers following risks posed by inflation and global uncertainties,” he further added.