at jewellers association and gold council have decided not to sell gold bars and coins but indulge only in pure jewellery business."
He added however that government should also look at other means to sort out the issue of gold imports by talking to jewellers association rather than putting in strong measures that will harm the industry.
However, Shameer Shareef, Associate Director of Malabar Gold & Diamonds said there won't be much impact on jewellery business during the season due to spurt in prices.
"People who have to buy will definitely buy – especially for occasions; people buying for investment purpose also will buy because prices are going high and they fear that it might cross over Rs 4,000 per gram."
"Buyers are mainly of higher middle class category, lower middle class will also continue to buy but the quantity will be minimal and selective," he added.
Stating that macro economic situation and restrictions on imports of gold have influenced the market by increasing gold prices, he said "it will pave the way for grey market to open up for second market people who will look for options."
Customers say they are opting to buy gold jewellery only on occasions and are going for fixed budget spending.
Dilip Khariwal a city-based business man, said "I'm here to buy gold for my daughter's marriage, prices are too high, but will have to buy as it is an occasion. I'm looking to purchase now in the budget range I have fixed."
Another customer, a city based professional Yamini said "I have decided not to buy gold for now looking at the prices; it is above the level I had budgted it to be."
"Price has risen like anything," she added.