Patna: The city's gold market has begun to feel the impact of Prime Minister Narendra Modi's appeal to citizens to defer gold purchases for a year, coupled with a recent hike in import duty. Jewellers across Patna have reported a decline in casual buying.
Wedding Demand Steady, Discretionary Buying Slows
Traders noted that wedding-related purchases are continuing, but discretionary buying has slowed considerably. Families with marriages at home are still purchasing ornaments out of necessity, while those buying gold for gifting, investment, or personal use are largely holding back.
A manager of a leading jewellery brand in the city said customer footfall at his stores had dropped by around 10%. He added that many buyers are confused about whether to purchase immediately or wait for prices to stabilise.
Impact on Hallmarking and Recycling
Sanjay Bhosle, who is engaged in hallmarking and gold recycling, said he too is facing the impact of the slowdown.
Jewellers Report Shift in Buyer Behaviour
Jeweller Saket Kesariya, who owns three stores in the city including one at Hathwa Market, said casual buyers have postponed their plans, though wedding demand remains steady.
"Many customers are visiting shops mainly to seek clarity on future price trends rather than to make purchases," Kesariya said, adding that uncertainty has become a key factor affecting buying behaviour. He also expressed the view that gold prices could rise further.
Kesariya warned that the broader gem and jewellery sector, which supports crores of people directly and indirectly across the country, could face serious consequences if the slowdown continues.
Mixed Experiences Among Jewellers
Navneet Kumar, owner of a jewellery showroom on Boring Road, said the impact has so far been limited at his establishment. He noted that gifting purchases have reduced, though bridal jewellery sales are continuing.
"Recently, we are seeing a trend where customers are exchanging old gold to buy new items for gifting," he said.
Trade Body Calls for Consultation
Patliputra Saraffa Sangh president Vinod Kumar said it is still too early to fully assess the impact of the PM's appeal, as the announcement came during the wedding season when many families had already placed orders.
He said the traders' body is not opposed to the appeal, acknowledging that it was made in the national interest amid concerns over the rising current account deficit. However, he added that the government should have consulted trade representatives before making such a public appeal. Kumar cautioned that if the trend continues, the gold market and those dependent on it could face serious hardship, including possible job losses.
