On Akshaya Tritiya, one might see Bengalis walking on the streets with brooms and salt packets. But is that all?
The Iran war has caused a spike in gold prices (Rs 15,578 per gram of 24-karat gold, in Kolkata on Sunday). But prices have not reached the peak as many had expected it to. The market remains volatile. The conflict has acted as a double-edged sword for gold. While war typically drives ‘safe-haven’ demand, the scale of this conflict initially caused prices to skyrocket, followed by a recent cooling period due to ceasefire talks.
The occasion of Akshaya Tritiya is not just commercial, it is rooted in religious sentiment and the idea of beginning something auspicious.
On this day, Kolkata jewellers weigh in on the rising gold prices, and how buyers are approaching gold purchases on the occasion of Akshaya Tritiya.
Siddharthaa Sawansukha, managing director, Sawansukha Jewellers, says gold proves its worth every time there is a global crisis.
“While volatility may cause price fluctuations, gold continues to hold strong emotional and cultural and investment value especially in cities like Kolkata where jewellery buying is deeply rooted in tradition,” said Sawansukha.
“As jewellers, we are not just selling jewellery; we are curating meaningful, accessible designs that resonate with the evolving mindset of today’s consumer,” added Sawansukha.
Pratik Dugar, director at Indian Gem and Jewellery Creation, worries that gold prices have reached unprecedented levels, drastically affecting local markets like Kolkata just days before Akshaya Tritiya.
“The strategy among jewellers has shifted from aggressive stocking to cautious recalibration. But we are optimistic that the sale of gold and gold jewellery should be good because it is considered to be an auspicious time,” said Dugar.
Suvankar Sen, MD & CEO, Senco Gold & Diamonds said the price hikes for gold at the beginning of the year had worried buyers all across the city.
“People are now leaning towards lighter jewellery. With various schemes and benefits provided by us, we are looking forward to buyers leaning towards bangles, and earrings more than heavy jewellery,” said Sen.
“We provided plans for long-term investment that benefit the buyer, due to the volatile markets, people are wanting to invest in gold as an asset more than just ornamentation,” added Sen.
The ceasefire deal between US and Iran has made some buyers hopeful, and more are inclined to purchase gold now, in case the prices skyrocket in the future, say the jewelers.