Emotional appeal for precious metals in the festive season remains high among Indian shoppers, as jewellers, refiners and online marketplaces witness strong surge in demand for gold and silver coins.
Even if buyers seem to prefer small denomination coins of 1 and 2 grams in gold, owing to record prices of above Rs 1.3 lakh per 10 grams for the golden metal, and Rs 1.85 lakh per kilo for silver, festive enthusiasm is clearly shining bright.
Dhanteras, considered the most auspicious day to buy precious metals, is two days away, but retailers across categories say this year’s festive buying has begun earlier than usual. “We are witnessing strong consumer sentiment this season, with purchases motivated by both the emotional value of metals and their investment potential,” said Ramesh Kalyanaraman, executive director, Kalyan Jewellers.
The brand, which is selling coins through online marketplaces and quick-commerce platforms also, has seen demand surpassing supply in some markets. Smaller 1-gram and 2-gram coins are finding takers online as festive gifts, while 5-gram and 10-gram gold coins, along with larger silver bars, remain popular in stores.
Piyush Gupta, director at PP Jewellers by Pawan Gupta, noted that coins continue to be the most sought-after purchase this season, valued as both auspicious gift and practical investment. He said while many consumers are opting for smaller denominations in the 5-gram to 10-gram range to balance tradition and affordability, overall demand has not wavered.
Smaller denominations have helped sustain overall demand. Neil Sonawala, managing director, Zen Diamond India, said the company has seen an 18-20% rise in coin sales this year. “Despite record-high prices, consumers view gold coins as both a festive and investment purchase, even if they are buying low denominations,” he said.
E-commerce platforms, too, are reflecting this festive optimism. As per Siddharth Bhagat, director, Amazon Fashion and Beauty, India, shoppers are exploring a wide range of coins, with 2 gram emerging as the most popular denomination.
Online retailer BigBasket is witnessing a nearly ten-fold demand for gold coins compared to last year.
“Purchases started a week earlier this year, with sales increasing day by day. We expect demand to peak by Dhanteras,” said Seshu Kumar Tirumala, chief buying and merchandising officer, BigBasket. The 24-carat 1-gram gold coin remains the top seller, accounting for nearly three-fourths of BigBasket’s sales, followed by 10-gram silver coins, which contribute about 80%.
Meanwhile, refiners such as MMTC-PAMP have observed consistent demand for high-purity coins and bars, even as prices surge. “Consumers are shifting towards 999.9+ purity coins and bars, while younger buyers are exploring digital gold and ETFs,” said Samit Guha, MD & CEO, MMTC-PAMP, attributing the trend to growing financial awareness.
The message is clear — even as metal prices soar, India’s faith in gold and silver remains unshaken. As one retailer put it, “Dhanteras isn’t about the size of the coin, it’s about the sentiment behind it.”