PANAJI
The festive buying of gold and silver on the occasion of Dussehra in Goa showed a mixed picture. Despite the high prices, many people still visited jewellery shops to make their ‘shagun’ purchases. However, most preferred small tokens like gold or silver coins instead of heavy ornaments.
Jewellers said that although the footfall was higher than on normal days, the actual transactions were fewer, as many buyers were cautious. Several jewellers avoided sharing sales figures, while some admitted that their business remained low-profile this year.
Branded and hallmark jewellery showrooms saw good crowds, but smaller retail shops reported poor sales. “Gold is going out of reach for the common man. Only investors and the government are buying it now,” said Manohar Jain of Manish Jewellers.
He added, “I hardly had a few customers this Dussehra. Even regulars who used to buy gold or silver coins for puja stayed away, as silver coin prices have doubled. What once sold for Rs 500-600 now costs Rs 1,600. Working people used to save every month for festive purchases, but inflation has made that difficult. Earlier, we gave gold on instalments and borrowed from the market ourselves, but now we too are unable to do that.”
Many people who already owned gold sold it when the price touched Rs 70,000–Rs 75,000 per 10 grams. Some exchanged their old ornaments for new ones, paying only for making charges.
While Goa’s gold market remained slow, Zaveri Bazar in Mumbai saw a completely different trend. The city recorded a 20% rise in bullion sales compared to last year, with transactions of around 100 tonnes of gold on Dussehra alone. On the next day, sales went even higher, reaching transactions worth Rs 200–250 crore (about 125 tonnes of gold). Traders said silver sales were also strong.
“It’s important to note that these high sales figures are only from Zaveri Bazar, not the rest of Maharashtra,” said Kumar Jain, national spokesperson of the Indian Bullion and Jewellers Association, while speaking to The Goan. “Market sentiment was positive this festive season. Despite high prices, people bought gold and silver, especially for the upcoming marriage season,” he added.
Jain believes gold prices could reach Rs 2 lakh per 10 grams in the coming years due to global instability. “People see gold as a safe international investment. The bullion market will perform strongly in the months ahead,” he said.
Jain, whose family jewellery business dates back to 1925, recalled, “There was a time when 10 grams of 24-karat gold cost Rs 18. Today, it is Rs 1.22 lakh. In the coming months, bullion transactions will rise further, and more people will prefer gold over shares as a safer investment.”
Commodity expert Ibrahim Patel said that consumer attitudes have changed. “Gold is no longer bought just for its beauty. It’s now seen as a secure investment. Young people don’t wear heavy gold jewellery, and even married women avoid it due to theft fears,” he explained.
“People also avoid keeping gold at home for safety reasons. Though it can be stored in bank lockers, that too comes with rent and insurance costs. Yet, gold remains popular because it can be quickly sold in emergencies—unlike property,” he added.
On the growing craze for precious metals, Patel explained that silver last hit a record high of $49.85 per kg in 1980, a level not yet crossed. “Before silver breaks that record, investors may book profits in both gold and silver. Silver could reach $100 per kg in the next five years, while gold may also double in value. However, silver may offer faster returns,” he said.
Patel noted that the price of silver rose by 64.5% and gold by 47.5% recently. “Silver prices could rise further due to limited supply and higher industrial demand. People have purchasing power, but those invested in the stock market are reluctant to sell, leaving less cash for buying gold or silver. That’s why festive buying this year has been cautious,” he concluded.
