Jewellery sales in Mumbai during Dussehra remained resilient despite high bullion rates, with shoppers flocking to hubs like Zaveri Bazaar and Dadar to buy gold coins, bars, and lightweight ornaments. Record-high gold prices near Rs 1.45 lakh per 10 grams shifted buyer habits toward compact purchases and advance bookings.

Demand favored lightweight 14-to-18 karat jewellery, smaller coin denominations (5g to 10g), or old-gold exchange schemes to offset high

Sales during Dussehra revealed a distinct divergence between transaction volume and total revenue across key Indian urban hubs

Volume Contraction: Gold purchasing volume declined by 25% across major cities like Delhi, Mumbai, Bengaluru, and Hyderabad. In Gujarat, retail jewellery sales fell by roughly 40% year-on-year, totaling only 100 to 120 kg.

​Value Expansion: Despite fewer grams sold, total transaction value rose by 30% to 35% in urban centers. This growth was driven by historic highs in bullion prices rather than higher physical unit sales.

​Selective Regional Growth: Markets like Nashik maintained resilience, generating an estimated 15% to 20% growth in overall sales value over the previous year.

Compressed purchase

Indian consumers are navigating economic pressures through a phenomenon termed “the compressed purchase”. Buyers are committed to upholding religious and cultural traditions, but they are reducing individual product sizes and purity levels to stay within budget

​Lower Purity Formats: Increased demand for 18-karat, 14-karat, and even 9-karat lightweight jewellery in place of traditional 22-karat ornamental sets.

​Fractional Holdings: Higher uptake of fractional gold coins, bars, and digital gold.

​Trade-in Surge: Old jewellery exchanges accounted for 50% to 60% of total festival sales in Hyderabad as buyers sought to minimize fresh outlay.

​Volatility Protection: Consumers in Delhi and Mumbai increasingly adopted rate-locking programs to guard against price swings.