Dhanteras spending hits Rs 1 lakh crore as gold hits record highs

Indian consumers spent an estimated Rs 1 lakh crore during Dhanteras this year even as local gold and silver prices hit record highs, industry bodies and trade groups said, underscoring strong festival demand despite steep bullion costs. The Confederation of All India Traders reported total festive spending of about Rs 1 lakh crore, with gold and silver accounting for roughly Rs 60,000 crore of that sum. Market observers said gold crossed the Rs 1.3 lakh mark per 10 grams in several cities while silver surged toward Rs 1.7 lakh to Rs 1.85 lakh per kilogram in some centres.

High prices dampened volumes for gold but raised average transaction values, the All India Gem and Jewellery Domestic Council said, putting volume declines at about 10 to 15 percent year on year while average ticket sizes rose 20 to 25 percent. Consumers shifted toward coins, hallmark-certified lightweight jewellery and bullion, industry executives added, and silver coins and puja items recorded an outsized jump in demand, rising about 35 to 40 percent compared with last year. Trade groups estimated overall jewellery and bullion sales in the festive window could top Rs 50,000 crore to Rs 60,000 crore.