debasish acharya, op
Bhubaneswar, Oct 17: Gold sales in the state is expected to rise by 40 per cent over the same period last year against the backdrop of a fall in gold prices and the pay revision of government employees under seventh pay commission. Sellers are expecting the five-day festival, also known as Dhanatrayodashi or Dhanvantari Trayodashi starting Tuesday, to bring them cheer.
“We hope to see 40 per cent growth in footfall in our store during Dhanteras and 90 per cent of the footfall is likely to convert into business. The same growth is expected across the state as well,” an official from Tanishq said and added the first day was promising. He said sentiments of buyers towards investment was changing and may drive sales of the yellow metal.
General secretary of Jewellery Association Sanjay Sahoo said business of Rs40 crore to Rs50 crore was expected during the festival, which is the equivalent of 1.5 quintals of the precious metal. He said lucrative offers will encourage buyers as much as the rise in salaries of government employees.
“Shops have seen good footfall and most of it is getting converted to business even though customers are now required to provide their PAN cards on purchases above Rs2 lakh, which had dampened the usual surge on Dhanteras,” Sahoo said.
The same enthusiasm, however, was not shared by jewellers nationally. According to agency reports, gold and jewellery sales were likely to remain flat this Dhanteras as a result of sluggish demand from consumers despite relaxation in KYC norms for purchase, as people fancied automobiles and electronic items.
Organised players were expecting 10-35 per cent jump in sales, but it is the unorganised players who make up for roughly 70 per cent of the country’s gold sales.
“Total sales will be same at last year’s level. Gold demand has been dented for various reasons,” All India Gems and Jewellery Trade Federation (GJF) Chairman Nitin Khandelwal said.
Disposable income has not picked up and most buyers are restricting their purchase to tokens even as gold rates are ruling at comfortable level, he said, adding that exact sale figures will be known midnight.
Even though there is a positive buying sentiment after withdrawal of KYC (know your customer) requirement for purchase of over Rs50,000, most customers are preferring to buy automobiles and electronic items on EMIs.
MMTC-PAMP India President (Marketing) Vipin Raina said: “Sales have improved a lot after relaxed KYC norms. We are expecting 50 per cent jump in gold coin sale.”
In case of bullion, sales may drop 90 per cent this Dhanteras due to poor demand, he added.
