Despite wedding season, market falls by 90%
Srinagar, May 18: Amidst the wedding season, the skyrocketing prices of gold have declined the consumer demand in Kashmir markets, leaving the jewelers to lurch at large.
Bashir Ahmad, President of the Jewellers Association Kashmir, revealed that they are experiencing a staggering 90 per cent decrease in gold sales.
“There were times when customers could afford a 50-gram set, but now, with the current prices, they can only manage a 20-gram set,” Ahmad lamented.
He said that the soaring prices have drastically altered consumer behaviour, and also highlighted that the disparity between the Edward pound and the 916-pound gold is also a cause for concern.
He highlighted that the Edward pound holds similar monetary value only within Kashmir, accusing that the outside dealers manipulate prices at their discretion.
Faza Hameed, from Srinagar, expressed her frustration with the current market situation. “I wanted to buy gold for my cousin’s marriage, but the rates are too high. I am uncertain whether prices will go up further or fall,” she said.
Bashir Ahmad said that economic hardships are also among the causes of prevalent downfall in consumer demand, saying that the financial constraints have exacerbated the decline in gold sales. “The poor financial conditions have further worsened the situation, leading to a significant downturn in gold purchases across Kashmir,” he explained.
He said that from just 17 gold shops in 1985, the number has ballooned to around 250, indicating that this increase in gold shops has not translated into higher sales, adding that consumers are struggling with the high prices, while the stakeholders associated with the gold trade are grappling with market dynamics influenced by both internal and external factors.(KNO)
