Ahmedabad Sees Unexpected Gold Sales Boost Ahead of Rakshabandhan

The upcoming Rakshabandhan festival has seen an unexpected surge in demand for jewellery and gift items, despite gold prices being nearly 55% higher than a year ago. In Ahmedabad, consumers are increasingly opting for silver rakhis, coins, and lower-carat, lightweight jewellery.

Jewellers attribute the improved buying sentiment to the recent correction in precious-metal prices. Gold prices have climbed to Rs 1.7 lakh per 10 grams, while silver is around Rs 2.45 lakh per kg, compared to Rs 1.02 lakh and Rs 1.17 lakh respectively a year ago.

Jewellers are reporting strong demand for gold and silver rakhis, coins, and gift articles priced up to Rs 5,000. Consumers are also looking at jewellery as a Rakshabandhan gift. Lab-grown diamonds are becoming more popular, especially among young consumers.

Ashish Zaveri, an Ahmedabad jeweller, said that after the PM urged people to refrain from buying gold, the market remained subdued. Prices have now come down, so demand is good.