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Gold Rush or Emotional Reset? What this festive season taught us

By Rahul Desai, MD & CEO, International Institute of Gemology (IIG)

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Every year, around this time, the gold prices somehow skyrocketed and there is always this question and concern in the air. However, around this time, there is one more thing that happens. India turns radiant, not just with lights, but with gold.
This Festive season (comprising Diwali and Dhanteras both), consumers spent an estimated ₹1 lakh crore on gold and silver ahead of Diwali. That’s not a typo,  that’s 1,00,000 crore rupees.

And what’s remarkable is that this surge came despite record-high gold prices. You can’t explain that with charts or commodity logic alone. Because in India, gold isn’t a commodity, it’s an emotion. This is what makes India’s gold economy unique. It’s driven not by speculation, but by sentiment that converts into sustainable demand.

Gold as Emotion: The Invisible Economy

Gold in India isn’t just bought; it’s believed in. When families step into stores, even though they are thinking in ounces and grams, they are also thinking of blessings, milestones, continuity…. Most of them see this purchase as multipliers. They believe what they buy will return in 10x. 

Even this year, as prices soared, consumers didn’t stop, they adjusted. Some bought lighter designs, smaller pieces, or silver alternatives. But, the desire remained the same; only the form changed. That’s emotional economics at work, something no spreadsheet can fully capture.

Gold as Investment

From an investment lens, gold remains one of the few assets that sits between emotion and economics. It hedges inflation. It stores value. It brings comfort when markets turn volatile. And while the urban investor sees diversification, the rural household sees gold as security. 

The point is,  both are right.

Gold has always been the bridge between sentiment and strategy. It’s the one asset class where the heart and the head both find common ground.

But if we’re going to treat gold as a real investment vehicle, we must start with awareness. 

Education: The New Currency of the Gold Economy

Here’s where I believe the real opportunity lies. The next big differentiator in India’s gold and jewellery ecosystem won’t just be price, it will be education. The more we train, the more we transform. Training jewellers on transparency. Educating consumers on hallmarking and value. Empowering retailers to merge digital convenience with human trust. These are the small hinges that move big doors.

Because when people are informed, they don’t just buy gold, they build an ecosystem of trust.

At institutions like IIG and others, we’re seeing how education bridges the gap between tradition and transformation. A well-trained workforce and a well-informed consumer are what make this market sustainable.

What the Festive season Data Really Shows

If you read the Mint report carefully, there’s a quiet story beneath the numbers. Gold sales value rose 25%, but volumes fell around 10-15%. Silver saw a 35-40% spike, as buyers looked for accessible alternatives.

That tells me something powerful: The emotion remains constant, but the behaviour is evolving. Buyers didn’t walk away, they adapted/shifted to lighter designs, explored silver, or embraced modern 9k alternatives. That kind of flexibility defines a mature market. It proves that emotion and strategy can coexist. Consumers are becoming smarter, selective, design-driven, and even sustainability-conscious. They’re no longer buying just metal, they’re buying meaning. Gold’s emotional power will always endure, but the way we engage with it will keep evolving.

Gold’s role as a hedge remains strong. It continues to protect against inflation and currency volatility. But in India, its deeper purpose lies in how it converts sentiment into financial security. As someone who has spent decades watching markets and teaching the minds behind them, I can tell you this: The smartest players in the coming decade won’t just be those who sell more gold,  but those who understand why people buy it, and strategize accordingly. 

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From Prompt To Pendant: How AI Is Turning Jewellery Buyers Into Designers

By Dr  Sandip P. Dhurat 

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Not long ago, jewellery design was largely a one-way conversation. Consumers browsed catalogues, visited stores, or selected pieces from showcases. If they wanted something custom-made, they relied on the jeweller’s sketches, imagination, and expertise.

Today, a new collaborator has entered the room: Artificial Intelligence.

Across age groups, consumers are experimenting with AI-powered image generators and design applications to create jewellery concepts that reflect their personal tastes. A few words typed into a prompt—”an emerald engagement ring inspired by lotus petals” or “a contemporary mangalsutra with geometric motifs”—can generate multiple design possibilities within seconds.

What happens next is perhaps the most interesting part of the story.Instead of ordering these pieces online, many consumers are taking their AI-generated designs to the one person they trust most: their family jeweller.

The new wave of customisation

For decades, customization in jewellery was often limited to engraving names, changing gemstones, or making minor design alterations. AI is expanding that possibility dramatically.

Consumers are no longer arriving at jewellery stores with vague ideas. They are walking in with detailed visual references generated on their smartphones. Some have experimented with dozens of versions before settling on a favourite. Others blend elements from different designs to create something entirely unique.

In a sense, AI is democratizing the design process. It allows consumers to participate creatively, even if they have no formal design background.

For younger buyers especially, this level of involvement is appealing. They want jewellery that feels personal, expressive, and different from what everyone else is wearing. AI gives them a playground where they can explore possibilities before making a purchase.

Role of traditional family jeweller

If AI can generate designs so easily, does that diminish the role of the jeweller?Quite the opposite.

While AI can create attractive images, it cannot determine whether a design is structurally sound, comfortable to wear, practical to manufacture, or durable enough for daily use. A ring that looks spectacular on a screen may be impossible to cast. A delicate bracelet generated by AI may not withstand regular wear.

This is where the expertise of the jeweller becomes invaluable.

Family jewellers are increasingly acting as interpreters between digital imagination and physical reality. They assess AI-generated concepts, refine proportions, suggest technical modifications, and ensure that the final piece balances aesthetics with craftsmanship.

Many jewellers describe the process as similar to working with a client-provided sketch—except the sketch is now more sophisticated and visually detailed.

The trust factor remains unchanged. Consumers may discover designs through AI, but they still want someone they know to guide the process and stand behind the finished product.

New collaboration trend

The relationship between customer and jeweller is evolving from buyer-and-seller to co-creators.

Consider a young couple designing an engagement ring. Instead of selecting from existing collections, they use AI to explore various combinations of settings, gemstones, and motifs. They then sit down with their jeweller to discuss feasibility, budget, stone availability, and craftsmanship.

The final piece is neither entirely AI-designed nor solely jeweller-designed. It is the outcome of a collaborative journey.

This shift creates opportunities for jewellers to engage customers more deeply. Conversations become richer because customers arrive with visual ideas rather than abstract descriptions.

In many cases, the design process becomes part of the emotional value of the jewellery itself.

The opportunity

The trend presents several advantages for jewellers willing to embrace it.

First, AI-generated concepts can serve as conversation starters. Instead of spending significant time understanding a customer’s vision from scratch, jewellers can begin with a visual reference and refine it together.

Second, it can increase demand for bespoke jewellery. Consumers who might never have considered custom design are discovering how accessible it has become.

Third, it opens the door to a new generation of buyers who value individuality over mass-produced designs.

Rather than competing with AI, jewellers can position themselves as the experts who transform digital concepts into heirloom-worthy creations.

Despite all the excitement around AI, jewellery remains an intensely human product.

A necklace gifted on a wedding day, a ring marking an engagement, or a bracelet passed down through generations carries emotions that no algorithm can replicate. AI may help generate ideas, but it cannot understand family traditions, cultural significance, sentimental stories, or the subtle nuances of personal taste.

Consumers are discovering designs through technology, but they are still seeking reassurance, expertise, and craftsmanship from people they trust.

Perhaps that is the real story behind this trend.

AI is not replacing the jeweller. It is empowering consumers to participate in the creative process while making the jeweller’s role even more valuable. The screen may provide the inspiration, but it is the skilled hand of the jeweller that transforms a digital concept into a treasured piece of jewellery.

In the years ahead, the most successful jewellers may not be those who resist AI, but those who embrace it as another tool in the ongoing art of personalization—where technology sparks the idea, and craftsmanship gives it life.

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JewelBuzz is Asia’s First Digital Jewellery Media & India’s No.1 B2B Jewellery Magazine, published by AM Media House. Since 2016, we’ve been the trusted source for jewellery news, market trends, trade insights, exhibitions, podcasts, and brand stories, connecting jewellers, retailers, and industry professionals worldwide.

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