MUMBAI (Scrap Monster): Valentine’s Day is one of the largest jewelry purchasing holidays of the year in India. However, the country’s young generation is least interested in purchasing jewellery this Valentine’s season.
The youngsters are seen shying away from purchasing jewellery-especially gold. Diamond studded pendants is seen having a thin edge over gold. But, overall jewellery demand growth has plummeted to anywhere between 5% and 10%.
The jewellery market in the country has been hit hard by unavailability of gold. The large-scale imports of finished jewellery pose threat to local jewellery manufacturing units.
According to jewellers, there is hardly any demand for gold jewellery at the retail level. In fact, many gold jewellers had launched a wide range of new products at lower price bands to entice the customers. The demand for diamond studded jewellery too is not encouraging. With only a day to go for V-day, the jewellery market in India is still flat. Many jewellers fear the growth to fall to less than 5% this year.
On the contrary, the old favorites-flowers and chocolates are expected to see robust growth in demand. Florists in the country expect 50%- 60% growth year-on-year. Chocolate makers are confident of 20% growth over the previous year.
Jewellery as a gifting option has taken a back seat in India this Valentine’s season.