Akshaya Tritiya, a festival traditionally associated with wealth and prosperity, is witnessing subdued enthusiasm in India this year, as soaring gold prices are prompting many to delay or rethink their purchases.
Often regarded as one of the most auspicious occasions to buy gold and begin new ventures, the day has typically seen a surge in jewellery sales across the country. However, in 2025, the market has been unusually quiet.
The steep rise in gold prices — climbing over 25 percent since the start of the year — has taken gold well past the ₹1 lakh per 10 grams mark, a psychological barrier that is making both middle-class families and daily wage earners pause.
This increase has been fuelled largely by international market trends, including geopolitical instability, trade tensions and strong central bank buying.
For many prospective buyers, gold is no longer within reach. In Old Delhi’s iconic Chandni Chowk market, 24-year-old bride-to-be Arpita Agarwal had hoped to purchase jewellery for her wedding guests, but found prices too high. “We were planning to buy chains and rings as gifts, but now we might hand out cash instead,” she said.
The impact of high prices is being felt across all customer groups. Cart puller Sanjay Singh, who would occasionally invest his modest earnings in small gold pieces for his family, said he hasn’t been able to afford gold in months. “Even with discounts, it’s become too expensive,” he lamented.
According to the World Gold Council, gold demand in India dropped 25 percent in the first quarter of 2025 compared to the previous year, falling to 71.4 tonnes. Forecasts suggest that this trend may continue, with Crisil Ratings predicting up to an 11 percent decline in overall jewellery sales by the end of the current financial year.
Jewellery retailers, including major brands, have attempted to attract customers with special Akshaya Tritiya collections, discounts and flexible instalment payment schemes. However, the response has been muted.
Many customers are now gravitating toward lightweight jewellery or alternative investments.
Malabar Gold and Diamonds chairman MP Ahammed noted a shift in consumer behaviour, saying, “People are choosing designs that are lighter and more versatile. They are also becoming more quality-conscious, preferring certified purity and unique designs over heavy gold ornaments.”
Even though bustling markets like Chandni Chowk remain physically crowded, jewellery shopkeepers report lower footfall and fewer sales. The enthusiasm associated with Akshaya Tritiya has clearly been dampened by financial caution and changing priorities.
India, which accounted for nearly 30 percent of the world’s gold jewellery, bar and coin purchases last year, is showing signs of a significant slowdown in 2025.
While many are still emotionally attached to gold for its cultural and investment value, current prices are forcing a more restrained approach. Some buyers are choosing to wait for price corrections, while others are opting for symbolic purchases or postponing entirely.
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