In a recent short feature in the Times of India, the price of gold, coupled with other global stress, gem-set jewelry is “on hold” for most consumers.
Gold rush halts as demand for jewelry dips in gemstone hub, Jaipur.
“The surge in gold prices to over Rs 90,000 per ten grams has plummeted demand for gemstone studded jewelry in its hub, Jaipur.
“Jewelry manufacturers said that while the high price is a factor for the slowdown in sales, the volatility adds a double whammy to the trade.
“They said the rise in the value of the dollar, the weakening rupee and a steady yet sharp spike in the rates of gold created the perfect storm for demand destruction, with customers either postponing their purchases or reducing the quantity.
“Rajeev Jain, former chairman of the Gem and Jewelry Exports Promotion Council, said, ‘It’s a wait and watch situation both for customers and manufacturers. Everybody is wary of the sudden spike and is waiting for the volatility to pass off.’ Customers who cannot postpone their purchases due to family or social occasions are opting for lightweight articles to fit into their budgets.”
Tap here to read the original post in the Times of India!
