The surge in demand came even as gold prices soared to Rs 97,500 per 10 grams and silver to Rs 98,000 per kilogram — among the highest levels in history
Despite record-high prices, India witnessed robust gold and silver sales worth Rs 16,000 crore on the occasion of Akshaya Tritiya, underlining the resilience of consumer sentiment on this traditionally auspicious day. According to estimates by the Confederation of All India Traders (CAIT), gold jewellery and related items accounted for Rs 12,000 crore in sales, while silver trade added another Rs 4,000 crore to the tally.
The surge in demand came even as gold prices soared to Rs 97,500 per 10 grams and silver to Rs 98,000 per kilogram — among the highest levels in history. The high prices, however, did little to deter consumers, many of whom were driven by cultural beliefs, the ongoing wedding season, and the metal’s status as a safe investment.
“Based on preliminary estimates, gold jewellery and related items worth approximately Rs 12,000 crore were sold across the country today. In addition, the silver trade was estimated at around Rs 4,000 crore,” said CAIT National Secretary General and BJP MP Praveen Khandelwal. He attributed the strong demand to traditional beliefs linked with Akshaya Tritiya, considered one of the most auspicious days in the Hindu calendar. “The ongoing wedding season also gave an additional push to the market,” he added.
While price-sensitive markets would typically react with caution to such steep valuations, India’s gold-buying tradition appeared unwavering. Remarkably, prices dropped slightly during the day, with gold falling by Rs 1,000 and silver by Rs 2,000 per kilogram. This small dip helped boost momentum, though interest had remained steady even before the correction.
“Despite the historically high rates, consumer sentiment remained strong, underscoring the deep-rooted cultural and religious significance of this occasion,” said Pankaj Arora, President of the All-India Jewellers and Goldsmith Federation.
Gold has traditionally been viewed as a symbol of wealth, purity, and long-term prosperity. In the context of Akshaya Tritiya, “Akshaya” itself means eternal or never diminishing, making the purchase of gold on this day a practice steeped in religious symbolism.
“This is why jewellers, goldsmiths, and artisans eagerly await Akshaya Tritiya each year. It brings a significant boost to business across the country,” said B.C. Bhartia, National President of CAIT.
Apart from cultural significance, the strategic value of gold as an investment is also driving demand, particularly amid global economic uncertainties. A new report released by Capitalmind Financial Services highlighted that gold prices could climb as high as $3,300 per ounce in 2025, driven by macroeconomic factors such as a slowdown in the US economy, rising geopolitical tensions, and mounting fiscal deficits.
This long-term outlook is prompting Indian investors to turn to gold as a hedge against inflation and market volatility. The report also noted that gold has historically offered consistent returns in Indian rupee (INR) terms, even when it faced losses in US dollar terms.
“In INR terms, gold has never had a negative decade, making it one of the most reliable long-term assets for Indian investors,” said Anoop Vijaykumar, Head of Research at Capitalmind.
He noted that although gold doesn’t generate cash flows like equities, its low correlation with other assets makes it vital for portfolio diversification. “The key is not to buy out of fear or greed, but to include gold through systematic rebalancing in a long-term strategy,” he added.
The report also attributed the sharp rise in gold prices — including an $800 per ounce surge in 2024 — to escalating trade tensions between the US and China. High US tariffs on Chinese imports and retaliatory actions by Beijing have led global investors to seek safety in gold. The depreciation of the Chinese yuan has further boosted gold demand internationally.
These global trends are making their mark in Indian markets as well, where currency depreciation has made imported gold relatively costlier, but more attractive as a store of value.
The overall sentiment in the bullion trade remains optimistic, with experts anticipating continued demand despite price fluctuations. Jewellers are banking on weddings, festivals, and the enduring investment appeal of gold to maintain momentum in the coming months.
“Gold continues to hold emotional and financial value for Indian households. Whether for weddings, rituals, or portfolio stability, its relevance remains intact,” said Arora.
As India’s retail and investment landscape evolves, the performance of the bullion market on occasions like Akshaya Tritiya serves as a clear indicator of gold’s timeless appeal. Whether viewed through a spiritual lens or a financial one, gold is still glittering brightly in India.
