National News
Consumers Are Offloading Gold For Cash On Fears Of Further Decline In Prices
Major Scrap-Buying Operations Are Reporting Unprecedented Volume Growth
A growing conviction that the precious metal has peaked is driving a historic selling spree across India, the world’s second-largest gold consumer. Indian consumers offloaded nearly 50 metric tons of old gold during the April-June quarter—a staggering 43% surge compared to the same period last year. The rush to liquidate highlights a fundamental shift in how Indian consumers view their gold: less as an emotional keepsake, and more as a tactical financial asset to be traded for profit.
While gold prices have retreated from an all-time high of roughly Rs 1.8 lakh per 10 grams ($2,160) earlier this year, they remain elevated at around Rs 1.4 lakh. Fears that the market could cool further—potentially dropping to Rs 1.2 lakh—have triggered a wave of profit-taking. Instead of the traditional practice of exchanging old necklaces and bangles for new designs, consumers are increasingly demanding cold, hard cash.
This behavior is fueling a boom for India’s organized gold recycling sector. Major scrap-buying operations are reporting unprecedented volume growth. Muthoot Exim, a prominent player in the space, saw a 40% year-over-year volume spike across its network of more than 100 “Gold Point” centers.
The surge in domestic recycling comes at a critical time for India’s macroeconomic balance. The country is overwhelmingly dependent on foreign bullion to satisfy domestic demand, splurging an estimated $72.4 billion on gold imports in the fiscal year ended March 2026.By pushing idle gold back into the supply chain, the recycling boom provides a vital domestic cushion, reducing the country’s reliance on fresh mining imports.
For global gold markets, the behavior of the Indian consumer remains a crucial swing factor. If the selling pressure persists, a steady stream of recycled domestic supply could cap India’s import appetite, potentially easing broader global price pressures.
National News
India’s Major Retail Jewellery Players Made A Strong Start To FY27
The Common Drivers Are Clear: Strong Same-Store Sales, Fast Store Expansion, Premiumisation, and A Better Product Mix.
India’s organised jewellery retailers have made a strong start to FY27, with Kalyan Jewellers, P N Gadgil Jewellers and Titan Company all showing that branded players can still grow quickly even in a record gold-price environment. The common drivers are clear: strong same-store sales, fast store expansion, premiumisation, and a better product mix.
Kalyan’s broad-based growth
Kalyan Jewellers reported about 38% consolidated revenue growth in Q1 FY27, with India operations also rising by more than 38% despite the 28-day Adhik Maas period, which usually softens wedding-related demand. Same-store sales growth was around 28%, showing that existing stores remained the main engine of momentum. Candere was a standout, posting about 112% growth, while Kalyan added 12 Kalyan showrooms and five Candere outlets during the quarter.
The company also highlighted a shift toward recycled gold through its “Shine with India” campaign, with recycled gold contributing more than 46% of revenue in Q1 and over 55% in June. That suggests Kalyan is not only growing demand but also improving sourcing efficiency at the same time.
PNG’s premium mix
P N Gadgil Jewellers reported 41% year-on-year revenue growth in Q1 FY27, with retail revenue up 56% and same-store sales up 46%, which points to very strong productivity at existing stores. Retail now contributes roughly 78% of revenue, while franchise and e-commerce also expanded healthily. The company’s retail stud ratio increased to 10.9%, indicating improving demand for studded jewellery and a higher-value product mix.
PNG also noted that newer stores in North and Central India are already showing higher studded jewellery penetration than its traditional Maharashtra and Goa markets. That matters because it signals that the brand is successfully taking its premium assortment to new geographies, not just expanding store count.
Titan’s steady momentum
Titan’s jewellery business also continued to grow strongly, with domestic jewellery operations rising around 18% to 39% depending on the business-update frame reported, supported by Akshaya Tritiya demand and healthy early-quarter buyer traffic. Titan said consumers increasingly preferred lightweight and lower-karat jewellery as gold prices climbed, while plain gold jewellery grew in the mid-teens and studded jewellery delivered early double-digit growth. Tanishq’s like-to-like sales grew in early double digits, and CaratLane also posted healthy double-digit like-to-like growth.
Titan expanded its jewellery network by adding 19 net stores in the quarter, including Tanishq, Mia and CaratLane outlets. That reinforces the same theme seen across the sector: scale, distribution and brand trust are helping large organised players win share.
What it means
The quarter suggests that high gold prices are changing what consumers buy, not whether they buy. Buyers are shifting toward lighter designs, lower karatage, studded jewellery and branded channels, which helps organised retailers defend growth even when raw material prices are elevated. In that setting, store expansion and premiumisation are offsetting pricing pressure, while digital channels and recycled-gold initiatives are adding another layer of resilience.
For the upcoming festive and wedding season, the sector appears well positioned, especially if gold prices stay volatile but not sharply disruptive. The strongest signal from these updates is that organised jewellery retail is gaining share from unorganised players rather than simply riding higher ticket values.
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