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Bullion Trends 2026: GJC Calls For Balanced Policy and Consumer-Friendly Reforms

Peaks In Gold and Silver Prices, Taxation Challenges, and Evolving Design Preferences Mark The First Half Of The Year.

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The All India Gem & Jewellery Domestic Council (GJC) today released its half-yearly review of the gold and silver market for 2026, noting that the first six months of the year were marked by historic peaks in bullion prices, followed by corrections that reshaped consumer sentiment and industry outlook. The Council emphasized that taxation changes, customs duty hikes, and global geopolitical tensions have been the defining factors of the year so far, while evolving consumer preferences and policy reforms will play a crucial role in the months ahead.

Gold prices peaked at Rs. 1,70,480 per 10 grams in January 2026, before correcting to around Rs. 1,42,800 per 10 grams by late June 2026. Silver too witnessed a dramatic surge, crossing Rs. 4,02,490 per kilogram in January 2026 — its first time above the Rs. 4 lakh mark — before easing to the Rs. 2,25,940 per kilogram range by late June 2026.

These fluctuations created both opportunities and challenges: while investors flocked to gold as a safe-haven, jewellery demand softened due to affordability pressures. The Council observed that customers are increasingly turning toward lightweight jewellery designs, reflecting both budgetary considerations and changing fashion sensibilities.

Policy developments added further complexity to the market. The increase in customs duty announced in May 2026 pushed domestic prices higher and weighed on retail demand. GST burden and compliance requirements continued to challenge margins, prompting calls for rationalization. At the same time, GJC reiterated its advocacy for reforms in the Gold Monetisation Scheme, which it believes can unlock the value of idle household gold, reduce import dependency, and strengthen domestic supply chains.

Global factors have also played a decisive role. Ongoing conflicts in the Middle East and broader geopolitical instability have heightened volatility, while the depreciation of the Indian rupee against the US dollar added pressure on domestic prices. Inflationary trends and central bank diversification into gold reserves further underlined the safe-haven appeal of the metal, even as corrections set in after the initial peaks.

Adding to this perspective, Rajesh Rokde, Chairman of GJC, commented:

“The correction in bullion prices during late June reflects a natural adjustment after extraordinary highs. Gold futures settled around Rs. 1,42,800 per 10 grams, while silver eased to the Rs. 2,25,990 per kg range after crossing Rs. 4,00,000 earlier this year. These shifts are driven by profit-taking, a stronger US dollar index, and expectations of prolonged high interest rates globally. Global sentiment has also shifted as safe-haven demand eased after recent geopolitical panic cooled.

While futures saw a meaningful drop, retail prices have remained elevated, with 24K gold continuing to trade around Rs. 14,250– 14,400 per gram through late June this year. This shows the market is adjusting rather than collapsing. Looking ahead, the upcoming festive season and the peak wedding calendar in the second half of the year are expected to provide strong support to jewellery demand, particularly in lightweight categories. These cultural drivers, combined with India’s deep emotional connect with gold, will ensure that despite volatility, the market remains resilient.”

Avinash Gupta, Vice Chairman of GJC, added:

“Gold remains an integral part of Indian households, but affordability pressures are real. The next six months will depend heavily on geopolitical stability and government policy, particularly in the context of customs duty and taxation. Excessive duties risk encouraging unofficial channels, which hurts consumers and weakens the trade. We urge policymakers to balance revenue needs with industry sustainability, ensuring that reforms strengthen rather than strain the sector.

At the same time, the Gold Monetisation Scheme offers a long-term solution by mobilising idle household gold, reducing import dependency, and reinforcing India’s economic resilience. Consumers are adapting with lightweight jewellery designs, while investors continue to view gold as a safe-haven. The industry stands ready to collaborate with the government so that national interest, consumer welfare, and market stability move forward together.”

Looking ahead to the second half of 2026, GJC expects bullion prices to remain volatile, with possible consolidation after recent corrections. Jewellery demand is expected to remain subdued, though the festive season could revive sales, particularly in lightweight categories. The industry awaits clarity on reforms to the Gold Monetisation Scheme and potential tax adjustments, while geopolitical risks remain a key factor that could trigger renewed safe-haven demand.

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Malabar Group Signs Letter Of Intent With The West Bengal Government To Strengthen CSR Partnerships and Advance Inclusive Development

Rs 20 Crore CSR Commitment For West Bengal In FY 2026–27 To Expand Education, Healthcare, Nutrition, Water Security and Artisan Welfare Initiatives.

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·Strengthens government-corporate collaboration to drive inclusive development across West Bengal

·Supports 11,873 children through 297 Micro Learning Centres across the state

·Provides nutritious meals daily to 1,200 beneficiaries and has completed 629 drinking water wells

·Expands support for healthcare, elderly care, and artisan communities across West Bengal

Malabar Group, a leading diversified business conglomerate and the parent company of Malabar Gold & Diamonds, has signed a Letter of Intent (LOI) with the Government of West Bengal to strengthen CSR partnerships and expand the impact of its social initiatives across the state. The LOI was exchanged with Finance Minister Dr. Swapan Dasgupta by Thahsil Ahammed, Regional Head (East India), Malabar Gold & Diamonds, along with Sajid N K, Manufacturing Head, Malabar Gold & Diamonds, and Shabeer P K, Senior Manager, CSR. The collaboration marks an important step towards enhancing government-corporate convergence and promoting inclusive and sustainable development through focused interventions addressing community needs.

The engagement is aligned with West Bengal Government’s efforts to establish a more coordinated and outcome-oriented framework for CSR partnerships. The state has also instituted an integrated CSR framework through the Finance Department, State CSR Council, West Bengal CSR Portal and CSR Projects Facilitation Unit to facilitate partnerships between the government, corporates, and philanthropic organisations, while aligning CSR investments with identified development priorities. As a part of its continued contribution towards the social development in the state, Malabar Group has earmarked a total CSR commitment of Rs 20 crore for FY 2026–27.

Malabar Group has been implementing a range of community-focused initiatives in West Bengal through the Malabar Charitable Trust (MCT) and its implementing partner, Daya Rehabilitation Trust (Thanal). These initiatives encompass education, nutrition, healthcare, water security, elderly care, housing, and artisan welfare, with a focus on creating sustainable impact among underprivileged communities.

Under its education initiatives, Malabar Group currently supports 297 Micro Learning Centres, benefiting 11,873 children from underserved communities across West Bengal. The Group has also provided scholarships to 500 girls to support their education. In addition, the Ujjwala Scholarship initiative supports 500 students from the Karigar community in West Bengal, contributing to greater access to education for children from artisan families.

Nutrition remains another important area of intervention. Malabar Group provides nutritious meals daily to 1,200 beneficiaries across the state. The initiative aims to ensure regular access to nutrition among vulnerable communities. Its outreach efforts include daily street medical services that reach around 60 beneficiaries, extending basic healthcare support to underserved sections of society.

Moreover, the Group has completed 629 drinking water wells against a target of 800, helping communities improve access to safe drinking water. Furthermore, the Group has expanded its social welfare initiatives to elderly care and housing. A Grandma Home for 60 elderly women has been proposed in West Bengal to provide accommodation, care, and support to elderly women in need. Through its Samman Awas housing initiative for artisans, Malabar Group has committed to provide 140 houses, including 80 in West Bengal, with the aim of improving living conditions for artisan communities.

Commenting on the initiative, MP Ahammed, Chairman of Malabar Group, said:

“At Malabar Group, CSR is an integral part of our culture, and we believe in creating meaningful and sustainable social impact. Our collaboration with the Government of West Bengal marks an important step in enhancing this approach and strengthening the alignment between corporate social responsibility and the development priorities of the state.

Through our continued engagement with communities, we remain committed to supporting initiatives that enhance access to education, healthcare, nutrition, livelihoods, and essential social infrastructure. We look forward to building on this partnership and contributing to a more inclusive and sustainable future for communities across West Bengal.”

The Letter of Intent further strengthens Malabar Group’s ongoing engagement with communities across West Bengal and provides an opportunity to deepen existing interventions while exploring areas for greater collaboration. West Bengal Government’s CSR framework is designed to connect corporate intent with development priorities at the state and district levels, and facilitate partnerships that can improve quality, alignment, and scalability of CSR interventions.

Malabar Gold & Diamonds has allocated Rs 200 crore towards CSR initiatives for FY 2026–27, with a focus on driving meaningful social needs.

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