One of the most auspicious days for buying gold, Akshay Tritiya or Akha Trij is falling on May 6 this year, but rising prices of precious metals may play spoilsport for sales. Gujarat, which usually sees sales of around seven tonnes of gold on this day, may see a fall of up to 20% in sales volume.
Traders and retailers are expecting a fall of 10-20% in volume though value of gold bought is likely to rise, thanks to rise in gold prices. On last year’s Akha Trij, gold price was around Rs18,500 per 10 gram which has increased by more than 21% this year to around Rs22,500 this year.
“This hike in price will affect the demand for gold on the auspicious day. Interestingly, gold price is continuously rising but so is demand. However, the demand is increasing in terms of value of gold bought while volume may shrink,” said Rajkot-based bullion trader Pankaj Lodhiya.
In the last 10 days, gold price has gone up by Rs1 lakh per kg, said president of Gem & Jewellery Trade Council of India, Shanti Patel. "If prices have gone up, the demand will surely be affected. We are expecting a variation of up to 10% as compared to last year's sales," said Patel.
With the marriage season beginning post summer, Akha Trij is the most auspicious day to buy gold, he said. Patel further said that sealing of shops on CG Road will have a major negative impact on jewellers' business. "If shops remain closed on Akha Trij, traders will lose big business," he said. Despite the rise in prices, traders have been stocking gold for the auspicious day.
"Traders and retailers usually start buying gold one month prior to Akha Trij. But this year with such exorbitant prices, everyone is afraid of a fall in sales," said Rajnikant Choksi, director of Ahmedabad Choksi Mahajan Association.
