Modi's gold pause plea plus 15% duty hike triggers 25-30% footfall drop at Indian jewellers
PM Modi's appeal to defer gold purchases, paired with an import duty jump from 6% to 15%, has cut jewellery store footfalls 25-30%. Crisil forecasts a 13-15% volume decline this fiscal as buyers pivot to lighter, lower-purity pieces. Wedding demand stays resilient against India's $5.2 trillion household gold stockpile.
What happened
Indian Gold & Jewellery Sector · PM Modi's appeal to pause gold buying plus import duty hike from 6% to 15% has hit jewellery footfalls 25-30%, with Crisil
Key facts
- 15% import duty
- $5.2 trillion household gold
- 34,600 tonnes
- 600-800 tonnes annual imports
- 13-15% volume decline
- 25-30% footfall drop
- ₹4,500 per 10 grams price reset
- 10-12% demand softening
Why this matters
Scout distressed regional jewellers and lightweight-design brands as acquisition targets while valuations compress under the duty hike and Crisil's bearish FY outlook.