This Akshaya Tritiya , the drought hit India bought a third less gold than last year as per the estimates from industry. The yellow metal lost its sheen due to high prices and dwindling earnings of millions of farmers.
Low demand from Indian consumers may halt the surge in global prices, the retail prices of gold remained at Rs 30,000 per 10 grams, up nearly 10 percent from a year ago.
Akshaya Tritiya failed to attract buyers in spite of attractive discounts and heavy spending on advertisements by the traders. A whopping 35% lower demand was reported by the traders association.
In rural areas, farmers hit by extremely dry weather didn’t venture for gold. Urban dwellers went for constrained purchase due to high prices of gold.