India's organized gold jewelry sales to fall 13-15% in FY27
If you're wondering why gold jewelry shops seem quieter lately, here's the scoop:
India's organized gold jewelry sector is expected to see sales drop by 13-15% in FY27, after an 8% fall last year.
The main reasons? Gold prices are elevated and customs duty just jumped from 6% to 15%.
Sales volumes this year could hit their lowest point in a decade (except for pandemic-hit FY21).
Organized gold revenue to rise 20-25%
Even with fewer pieces sold, revenue is set to grow by 20-25% as retailers charge more and adapt to what buyers want.
People are picking lighter, lower-carat jewelry (16 to 22 carats), and there's been a big spike, over 50%, in demand for gold bars and coins.
Organized brands are also carefully expanding into smaller cities using franchise models, keeping their finances steady despite rising inventory debt.