Akshay Tritiya is the second most auspicious day after Dhanteras for buying gold, gems and jewellery. The word ‘Akshaya’ in Sanskrit means ‘never diminishing’ and that is why it is considered to be auspicious for buying gold, property and making other investments. Gold sales are expected to see as much as 40 per cent increase in year-on-year sales this year compounded by the wedding season as well as the summer vacations.
We take a look at 7 good reasons to buy gold this Akshay Tritiya:
1. With GST on the anvil, gold rates are expected to increase considerably. Taxation will add up to the total cost of the jewellery, which cannot be negotiable. Customers will have to shell out additional monies to purchase the same piece of jewellery.
2. Gold prices are on a steady increase due to social political factors across the globe. It is a favorable time to invest in gold when the rates are still within grasp.
3. India is largely a cash economy. Biggest consumers of gold are from rural India. A large chunk of their savings are invested in purchasing gold. It has been almost six months since demonetization; consumers are gradually adapting themselves to digitized payments. Digital payments for gold and diamond purchases have increased in urban areas considerably.
4. Investors seek stability before investing. Trust as well as stability are important factors while deciding investments, which affect buying as well as investment behaviour. The present government is winning hearts with its recent victories across multiple elections. Thereby showcasing a strong leadership at the top indicating stability of the government and trust of its subjects. Buying in gold is bound to increase!
5. A lot of brands are giving attractive offers to entice more customers this Akshay Tritiya. This is the right time to exchange or replace ornaments. Discounts have become an extremely crucial aspect of Gold buying.
6. Consumers this year are looking for new and attractive designs at attractive prices. Even millenials have shown a key interest in tying themselves to the tradition of buying jewellery on Akshay tritiya.
7. Southern India, this year has an added advantage of celebrating Akshay Tritiya for two whole days. Thus more sales are expected this year.
The author is chairman and managing director at PNG Jewellers. He is also a director at Indian Bullion Jewellers Association (IBJA)