However, all types of online sales put together is estimated not even a tonne compared to over 30 tonnes of sales last year. What is interesting is that number of people making online inquiries have increased significantly.
Many industry leaders say online inquiries suggest that it indicates how future trend for jewelry selling will evolve.
Vikas Singh, MD & CEO of MMTC PAMP, said: “It’s e-Akshay Tritiya
this time. We have seen a sharp jump in orders from digital gold selling platforms. The response from these platforms, to whom we provide gold and store on their behalf, is higher than in the recent past and also a year ago. Digital gold is emerging as a way of life, especially for the millennials."
However, the issues of regulating digital gold platforms still remain.
Somasundaram PR, managing director (India) of World Gold Council, said high gold prices, logistical constraints on delivery, uncertainties surrounding wedding schedules, income anxieties, and lockdown
are seriously restricting gold demand. “Digital platforms like SafeGold and MMTC-PAMP could facilitate customary token purchases in urban areas and support the tradition but they are unlikely to be a significant alternative to “brick and mortar” sales.”
Hopefully, he said, this Akshaya Tritiya could ring in a digital transformation of the industry. “If these digital transactions sustain in due course, it will be good for monetising gold, but this can happen only with an acceptable regulatory framework to protect consumer interests.”
Today being a Sunday is another roadblock for the sale. Kothari said with stock exchanges closed, “gold demand by way of exchange traded funds (ETFs) also gone.” Last year on the BSE and NSE, gold worth Rs 25 crore was purchased with the trading volume of 653 kg. Even sovereign gold bonds are purchased from stock exchanges on this day.
The latest issue of sovereign gold bonds ended Friday is said to have very good response from retail high net worth investors.