Gold Rate Today: Indian households rush to cash out old jewellery
Indian households are increasingly cashing in on old jewellery as concerns grow that gold prices may have already reached their peak. According to data from the India Bullion & Jewellers Association (IBJA), consumers sold nearly 50 tonnes of old gold during the April-June quarter, marking a 43% increase compared with the same period last year.
After gold prices climbed to around ₹1.4 lakh per 10 grams and expectations emerged that they could fall further to ₹1.2 lakh, many consumers have preferred selling old jewellery to realise profits instead of exchanging it for new ornaments.
“Indian consumers are leveraging the high price of gold for liquid cash,” said Surendra Mehta, National Secretary of IBJA to ET. “Though prices have fallen from a high of ₹1.8 lakh per 10 gm in the beginning of the year to ₹1.4 lakh, there is a fear among them that prices may further crash to ₹1.2 lakh, which is prompting them to sell gold to encash.”
The trend has also provided a boost to the organised gold recycling industry, with elevated prices encouraging households to bring dormant gold holdings back into the market rather than keeping them idle. Industry executives said consumers are increasingly viewing gold as a financial asset that can be monetised when prices are favourable, resulting in a steady flow of recyclable gold for refiners and jewellers.
Companies engaged in buying old gold are witnessing a similar rise in business. Muthoot Exim reported a 40% jump in old gold collections across its network of more than 100 Gold Points located across the country.
