Gold and jewellery trade takes Rs 10,000 cr hit on Akshaya Tritiya, Eid: CAIT

Gold and jewellery trade takes Rs 10,000 cr hit on Akshaya Tritiya, Eid: CAIT

For two consecutive years, on the occasion of Akshaya Tritiya, the business of gold and gold jewellery trade saw big losses, claimed trade body Confederation of All India Traders (CAIT).

“According to an estimate, due to the lock down and coronavirus restrictions, the gold and jewelry trade recorded a loss of about Rs 10,000 crores. Last year too, due to the lock down, jewellery traders were not able to do any significant business on Akshaya Tritiya,” a CAIT release said.

There are about 4 lakh gold and jewellery traders in the Country.

BC Bhartia, National President, CAIT said that both the festival’s of Eid and Akshaya Tritiya falling same day today, the gold traders and jewellers have lost additional business which normally happens on the day of Eid as there is lockdown in most of the states of the country.

Pankaj Arora, National Convener of All India Jewellers and Goldsmith Federation (AIJJF), the apex organization of the country’s jewellery trade said that in most parts of the country, the shops and markets of gold and jewellery traders remains completely closed due to the lock down.

Arora said that gold sales are second highest on Akshaya Tritiya, Dhanteras being the day of highest single day gold sales. “But due to Corona, for the second year in a row, the purchase of gold on Akshaya Tritiya was almost negligible. In2019 on the day of Akshya Tritiya, there was a business of gold and jewellery trade for about 10 thousand crores on Akshaya Tritiya when the rate of Rs 35,000 per 10 gram of the gold. But in 2020, on the day of Akshaya Tritiya there was complete lockdown in the country and gold trade worth about Rs 980 crore took place when the price of gold was about Rs 52,000 per 10 grams. Today, when the price of gold in the country is about Rs 49,000 per 10 grams, it is estimated that trade of about 20 metric tons of gold, having value of about Rs 10,000 crore was lost,” said Arora.

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