A similar price hike was witnessed in November 2016, when demonetisation was announced and people rushed to buy gold, using old currency notes
Gold prices have escalated amidst the Coronavirus lockdown. This makes the case for buyers tougher than ever.
This kind of escalation was witnessed at the time of demonetisation in November 2016. It was then that gold bars, coins and jewellery, among other goods, were purchased at premiums of up to 50 per cent or more.
On April 9, 24 carat gold quoted at a record high of Rs 45,020 per 10 gram (ex -3% GST),data from trade body India Bullion & Jewellers Association (IBJA) showed. States such as Maharashtra have extended the lockdown till April end.
This whole demand-supply game, could be a pre-cursor to the challenging times, the gems and jewellery industry in India could be witnessing.
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