Following the declaration of reduced customs duties in the Union Budget 2024, gold prices in India have notably decreased, coinciding with a rise in consumption as the wedding season approaches. Gold is of considerable cultural and financial importance, particularly during wedding ceremonies. The recent decline in gold prices offers an excellent opportunity for couples and their families to achieve substantial savings on their wedding expenditures.

Gold prices are subject to variation influenced by multiple factors such as global market trends, changes in currency values, and prevailing economic conditions. Recently, a confluence of these elements has resulted in a decline in gold prices. This reduction presents a favourable opportunity for individuals preparing for weddings, enabling them to purchase gold jewellery at a more affordable price.

Start Early with Your Purchases

It is crucial to consider purchasing gold when there is a decline in prices. If you possess available funds, postponing your purchase may lead to an increase in prices, as gold rates fluctuate over time. External influences, such as tensions in the Middle East and the crisis in Bangladesh, could contribute to potential increases in gold prices in the upcoming months.

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Price Fluctuations

Even though gold prices are currently low, they can fluctuate. By purchasing early, you can lock in the current low rates and avoid potential price hikes in the future. Early purchases give you ample time to select the best designs and avoid the rush and higher prices that often come with last-minute shopping.

Adhil Shetty, CEO of Bankbazaar.com, says “Buying gold for wedding requires careful comparison of prices, making charges and tax liability. You must set a budget and purchase based on your wedding requirements. While buying jewellery, making charges are usually 15-20 per cent or even higher and 3 per cent GST is also levied. So, buying at lower rates help but don’t go overboard without understanding the actual cost and long-term perspectives.”

The graph given below shows last 30-day price movement of gold in Uttar Pradesh.

Set a Budget

Setting a budget is crucial as it does not make sense to buy beyond your limitations. If you are purchasing gold by borrowing money, it is important to keep a budget based on your requirements. List all the gold items you need for the wedding, including jewellery for the bride and groom, gifts for close relatives, and other traditional items.

Research Prices

As mentioned earlier, you must keep abreast of the current gold prices. It gives you an idea as to what will be the rough cost of your purchase and whether you should buy now or wait for some more time based on your wedding date. Check the current gold prices and compare rates from different jewellers. Online resources and local jewellers can provide insights into the best deals available.

Funds for Purchasing

Keep aside the funds you have to purchase gold; this helps you know your budget and stop buying once you are done. It could be tempting to go to a jewellery shop and purchase more seeing new designs. Your budget tells you where you need to stop. Allocate funds for each category of gold purchases. This helps in avoiding overspending.

Choose Reputable Jewellers

Selecting a reputable jeweller is vital to ensure the quality and authenticity of your gold purchases. Here are some tips:

  1. Check Certifications: Ensure the jeweller provides a certification of purity, such as the BIS Hallmark in India.
  2. Read Reviews: Look for customer reviews and ratings. Positive feedback from other customers can indicate a trustworthy jeweller.
  3. Compare Offers: Don’t hesitate to compare offers from different jewellers. Some might provide additional discounts, better craftsmanship, or added services like customization.

It is good to purchase when rates are lower but don’t compromise on quality and standards. This is a costly asset, so you must not hurry with your decision based on prices. For weddings, try to negotiate prices such as making charges etc. as it reduces your overall cost.