An air of excitement was witnessed amidst jewellers when the Government decided to revoke PMLA – this was a welcome change that felt like a breath of fresh air for the industry that has been privy to many regulations and policies over the last couple of years.
But looks like even the easing of regulations won’t remove the general dullness that has permeated across jewellery shops, mainly due to a gross lack of cash surplus in the market.
A majority of the sector has still not revived from demonitization and GST and this has led to decline in cash flow; though the sales are expected to increase marginally during Pushya Nakshatra today, it will not be anywhere close to last year sales.
Moreover, the tradition of buying gold during Diwali is slowly changing as consumers are keener about buying household utilities with come with heavy discounts. In light of this, jewellers all over the country are offering good discounts to lure customers.