Gold rates in Hyderabad see decline; festive season demand to boost sales

Hyderabad: As the festival of Dhanteras approaches and coincides with the wedding season, the demand for gold and other precious metals has grown considerably among the city residents.

The high demand has coincided with gold rates seeing a gradual decline in the past few days. Taking advantage of the situation, local jewellers are gearing up for what they believe will be a promising Dhanteras this year, and consumers are considering seizing the opportunity to make significant purchases.

On Wednesday, the price of 24-carat gold per 10 grams stood at Rs 61,200, while 22-carat gold per 10 grams was available at Rs 56,100. This downward trend in gold prices has sparked enthusiasm in the city’s market, leading jewellers to offer discounts on making charges and other assured gifts to entice buyers.

Amit Pratihari, vice-president of De Beers Forevermark, expressed his confidence in the gems and jewellery sector, saying, “Confidence is high for the gems and jewellery sector about good sales volume.” He highlighted a positive shift in consumer buying patterns as individuals are now more inclined to purchase items that hold personal meaning.

Pratihari also stated, “This festive season we are expecting a substantial growth of around 25-30 per cent with South India being a significant driver. The demand is expected to continue into the new year as well.”

The recent decline in gold prices can be attributed to a decrease in the risk premium associated with the Israel-Hamas conflict, contributing to favourable market conditions.

Local jeweller Pawaskar, based in Begum Bazaar, believes that the recent correction in gold prices presents a timely and favourable opportunity for enthusiasts of the precious metal. With most city jewellers expecting better sales than last year, he said that they have already begun receiving orders.