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Akshaya Tritiya approaches, gold prices have reached a significant milestone, touching ₹1 lakh per 10 grams. This surge has sparked discussions about its potential impact o Akshaya Tritiya approaches, gold prices have reached a significant milestone, touching ₹1 lakh per 10 grams. This surge has sparked discussions about its potential impact on consumer demand during one of the most auspicious times for gold purchases in India.

The price of 24-carat gold has seen a substantial increase, now standing at ₹1,00,000 per 10 grams. This marks a notable rise from previous years, where prices were considerably lower during the same period. The escalation in gold prices is attributed to various global economic factors, including inflationary pressures and fluctuations in international markets.

Traditionally, Akshaya Tritiya witnesses a surge in gold purchases, with consumers considering it an auspicious occasion to buy the precious metal. However, the current high prices have led to a shift in consumer behavior. Many buyers are opting for lightweight jewellery or smaller quantities of gold, such as coins and bars, to manage costs while still participating in the tradition.

Jewellers across the country are observing a cautious approach from customers. While footfalls in stores remain steady, the volume of purchases has seen a decline. Industry experts estimate a potential dip in sales volume by approximately 15-20% compared to previous years. Despite this, the value of sales has remained relatively stable, indicating that consumers are still investing in gold, albeit in smaller quantities.

The impact of high gold prices is not uniform across the country. In southern India, where Akshaya Tritiya holds significant cultural importance, demand remains relatively strong, particularly for traditional and heavy-weight jewellery. Conversely, in northern and western regions, consumers are more inclined towards purchasing lightweight pieces or gold coins.

The surge in gold prices has also led consumers to explore alternative investment options. Some are turning to sovereign gold bonds and gold exchange-traded funds (ETFs) as more cost-effective means to invest in gold without the high premiums associated with physical gold.

While the rise in gold prices to ₹1 lakh per 10 grams has introduced challenges for both consumers and jewellers, the cultural significance of Akshaya Tritiya continues to drive gold purchases. Consumers are adapting by purchasing smaller quantities or opting for alternative forms of gold investment. Jewellers remain optimistic, anticipating that the festive spirit will sustain demand, even amidst the high price levels.