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‘If customers stop buying gold for a year, many small businesses may not survive’: Karnataka jewellers after PM Modi’s appeal
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‘If customers stop buying gold for a year, many small businesses may not survive’: Karnataka jewellers after PM Modi’s appeal

The Indian Express·Atiya Firdos·19 days ago
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Prime Minister Narendra Modi’s appeal urging citizens to avoid buying gold for a year to help conserve foreign exchange reserves has triggered concern among Karnataka’s jewellery traders. They say the sector is already battling record-high prices, slowing consumer demand and rising operational costs. While industry representatives understand the economic rationale behind the appeal amid rising oil prices, pressure on the rupee and geopolitical tensions in West Asia, many warned that further discouraging purchases could deepen stress across the jewellery supply chain. The jewellery industry has already witnessed slowing demand over the past year as gold prices climbed steadily to record levels, weakening retail sentiment and reducing discretionary purchases. Traders said consumers have increasingly shifted towards lighter jewellery, exchange schemes, and recycled gold purchases rather than fresh, high-value buying.…

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