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Deferred gold jewellery purchase schemes see decline

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India’s gold jewellery retail sector is undergoing a structural transformation as deferred gold purchase schemes — once central to retailer financing and customer retention — record their first major contraction in a decade. FY25 saw Tanishq’s deposits fall 19% to Rs.3,458 crore and Reliance Jewels’ decline 5% to Rs.333 crore, amid a 56% surge in gold prices to Rs.22 lakh per 10 grams.

Rising gold prices have eroded affordability, strained monthly commitments, and triggered defaults, exposing the rigidity of traditional savings-linked purchase models. Consumers increasingly prefer digital gold platforms offering flexibility, liquidity, and transparency — features absent in conventional schemes.

The World Gold Council now projects India’s gold consumption to fall to 600–700 tonnes in 2025 from 802 tonnes in 2024, underscoring behavioral shifts rather than cyclical correction.

While legacy jewellers plan to innovate through hybrid models and digital integration, the future of such schemes hinges on adaptability, regulatory modernization, and consumer-centric redesign. The market’s direction is clear — flexibility and digital convergence will define the next chapter of gold retail in India.

Key Insights

1. Structural, Not Cyclical: The decline represents fundamental misalignment between rigid scheme design and volatile market conditions, not merely temporary disruption.

2. World Gold Council : The rise of digital gold is permanent and will continue capturing market share from traditional schemes unless incumbents adapt.

3. Price Sensitivity Threshold: Consumer psychology shifts dramatically when gold crosses psychological price barriers (₹1 lakh per 10 grams), triggering behavioral changes.

4. Segmentation Imperative: One-size-fits-all schemes no longer viable; retailers must develop multiple product variants for different consumer segments.

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Rajiv Jain Elected Chairman Of Jaipur Jewellery Show

The members expressed their confidence that, under his leadership, JJS will continue to achieve new milestones while further strengthening its position as one of the country’s premier gem and jewellery exhibitions.

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The Jaipur Jewellery Show Organising Committee has unanimously elected  Rajiv Jain as the Chairman of Jaipur Jewellery Show (JJS).  Rajiv Jain is a distinguished industry leader with decades of exemplary service to the gem and jewellery sector and had held many important positions.

A few of the key positions held by him are: Past Chairman, Gems & Jewellery Export Promotion Council (GJEPC), sponsored by the Ministry of Commerce & Industry, Government of India; Chairman, Confederation of Indian Industry (CII), Rajasthan; Founder Chairman, Museum of Gems & Jewellery, Jaipur; and Past Chairman, Indian Institute of Gems & Jewellery, Jaipur (IIGJ Jaipur).

Rajiv Jain succeeds Vimal Chand Surana, who has served as the Chairman of JJS for the past 19 years. Under his visionary leadership, Jaipur Jewellery Show has evolved into one of India’s most respected and successful gem and jewellery exhibitions. In recognition of his distinguished service, exemplary leadership, and invaluable contribution to the growth of JJS, the Organizing Committee has unanimously named him as the Patron of Jaipur Jewellery Show.

Following these appointments, the Executive Committee of Jaipur Jewellery Show (JJS) is constituted as under: Vice Chairman,  Dinesh Khatoria; Secretary,  Kamal Kothari; Joint Secretary,  Ajay Kala; Joint Secretary,  Ashok Singhi; and Treasurer, Dr. Nawal Agrawal.

The members conveyed their heartfelt congratulations to Shri Rajiv Jain on his unanimous election as Chairman and expressed their confidence that, under his leadership, Jaipur Jewellery Show will continue to achieve new milestones while further strengthening its position as one of the country’s premier gem and jewellery exhibitions.

The Organizing Committee looks forward to the continued support and active cooperation of all Committee Members and Sub-Committee Members in carrying forward the vision and legacy of Jaipur Jewellery Show.

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