In India, the traditional gift of gold at weddings is a symbol of love and equality between the bride and groom. However, the recent surge in gold prices has put a strain on this tradition, forcing many families to make difficult choices. The Angadi family, from Hyderabad, is one such example. They had always dreamed of gifting both their daughters with the same amount of gold for their weddings, but the gold price has risen significantly, making it unaffordable. “In February 2019, when my elder sister got married, we bought 20 tolas of gold for ₹13-₹14 lakh,” said Harish Angadi, a PR professional. “The rate was around ₹58,000-₹60,000 per 10 gm. Now we’ve spent ₹16.5 lakh and could only afford about 15 tolas. We’re still short by 4-5 tolas.”
The emotional toll of this situation is just as heavy. “We always wanted to keep it equal, but now with the rise, we have to cut down on gold to manage other wedding expenses. My younger sister is really disappointed,” said Mr. Angadi. The recent visit to a Sri Krishna Jewellers in Begum Bazar drove home the point. “As we entered, the owner erased the rate on the board – ₹97,500 shot up to ₹98,000 in a minute. Had we come earlier, we could’ve bought half a tola more,” said Mr. The gold prices in India have surged to historic highs this week, breaching the ₹1 lakh mark on Tuesday. For Sreenidhi, who was planning her dream proposal, the timing couldn’t be worse. “I was so excited, scrolling the Tanishq app on Sunday evening. The cost of the ring I loved jumped ₹44,000 in just 14 hours,” she said. Her to-be-fiancé had set a budget of ₹1.2-₹1.5 lakh. “The ring was slightly above that, and I’d almost convinced him. But now it’s close to ₹2 lakh, without GST. We may have to skip our beach-destination proposal just to afford it,” she said. Many soon-to-be-wed couples and regular gold investors are breathing easier, grateful they purchased earlier this year. However, the situation is not so rosy for jewellers who are struggling to cope with the sudden surge. “Customers aren’t afraid of higher prices, but the constant fluctuations are making them hesitate,” said Kiran Shinde, CEO of PMJ Gems & Jewellers. “With six stores across Hyderabad and over 40% sales from the market here, Mr. Shinde noted that walk-ins have dipped across segments – luxury, entry-level, even plain gold.”
Jewellers are having to adapt quickly to the market shift, with the rise of instant gratification making ready-stock items less popular. “With the rise of instant gratification, made-to-order pieces now make up just 8% of our business. Customers want instant gratification – ready-stock items they can walk out with. That change is hurting volumes, even if inventory values go up,” said Mr. Shinde. Srujan Bussa, who owns Nakshatra Jewellers in LB Nagar, shared his plight. “Just yesterday, we sold 140 gm of gold. Today? Barely 12 gm,” said Mr. Bussa. “We anticipated a price rise six months ago – but a ₹6,000 jump in a day, from ₹97,000 to ₹1.1 lakh, is a shock. A gradual rise of ₹200-₹300 per day would’ve been manageable for both jewellers and customers,” he opined. The sudden surge has translated into losses for the company too. “Yesterday, we sold gold at ₹98,000 per tola, but by the end of the day we had to buy it at ₹1.1 lakh per tola. That’s ₹40,000 lost instantly,” said Mr. As customers hesitate, so do jewellers. “A couple came in this morning and picked a 50-gm necklace. The moment they heard the total, they walked out. People are hoping prices will drop. Meanwhile, we’re struggling to decide whether to even buy new stock,” said Mr. In Hastinapuram, B. Bhuvaneshwari of Sai Santhoshi Jewellers has been spending more time cleaning her store and scrolling reels than selling gold. “We usually see 30-40 walk-ins a day. Today, barely 10 – and they’re mostly here to complain about prices,” she said. For smaller, order-based jewellers like her, the losses are sharper. “If we take an order today and deliver it a week later, the price difference cuts directly into our margins. We try to maintain customer relationships through made-to-order pieces, but now, even taking orders feels risky,” she said. “In this market, the customers are stronger than us,” she added.