HYDERABAD: Hyderabad’s jewellery market is witnessing a revival in buying activity this Dhanteras, with customers returning to showrooms after months of subdued demand amid high gold prices. A recent correction in prices, coupled with the festive occasion and approaching wedding season, has improved consumer sentiment and boosted sales prospects.
Jewellers are reporting an increase in customer footfalls and advance bookings, with buyers resuming purchases after holding back during the sharp rally in gold prices earlier this year. Industry estimates suggest that gold demand by volume could increase by around 12% this festive season compared with last year, while sales in value terms are expected to grow 15-20%.
As of Friday, 24-carat gold was priced at Rs 1,43,460 per 10 grams, 22-carat at Rs 1,31,500 and 18-carat at Rs 1,07,590.
Surendra Mehta, National Secretary of the India Bullion and Jewellers Association (IBJA), told TNIE that gold demand could increase by 12% in volume terms, with sales estimated at 51-52 tonnes against approximately 46 tonnes during the corresponding festive period last year. He attributed the expected rise to lower prices and improving buying sentiment, adding that an average Dhanteras buyer could purchase 7-8 grams of gold for around Rs 1.10 lakh.
Members of the All India Gem and Jewellery Domestic Council (AIGJDC) also expect Dhanteras sales to increase by 15-20% in value terms, citing improved walk-ins and purchases following the price correction.
Darshan Gupta, partner at Mangatrai Jewellers, said customers were becoming more comfortable with prevailing prices and returning to advance bookings ahead of Dhanteras and the wedding season. He noted a growing preference for lightweight jewellery and lower-caratage ornaments, with jewellers offering discounts on making charges and studded jewellery. Exchanges of old gold are also helping customers switch from heavier 22-carat ornaments to 18- and 14-carat designs.
Prem Kumar, a jewellery trader, said lightweight 18-carat jewellery was gaining popularity, with lighter designs reducing overall costs by around 35%. Gold coins and smaller denominations were also attracting buyers seeking affordable purchases. The upcoming wedding season is expected to further support demand, with families making advance bookings for weddings.
