The Glitter That’s Slipping Away
Peerzada Masarat Shah
Gold, the timeless emblem of wealth and stability, has morphed into a distant fantasy for millions. As wedding bells chime across India, the price of gold has soared to a jaw-dropping ₹92,000 per 10 grams—an all-time high that’s turning a cherished tradition into a cruel taunt for middle-class families. In bustling markets and quiet homes alike, the refrain is the same: gold is no longer a rite of passage; it’s a privilege for the elite.
In Maharashtra’s gold hubs of Nashik and Jalgaon, the air is thick with disbelief. Jalgaon, renowned for its pristine craftsmanship, has long drawn buyers from Gujarat, Madhya Pradesh, and beyond. But even here, the chatter on the streets is grim. “I came to buy a necklace for my daughter’s wedding,” says Prakash More, a farmer from Dhule, standing outside a jeweler’s shop in Jalgaon’s packed bazaar. “The price? ₹2 lakh for something that cost half that two years ago. I’m going home empty-handed.”
Traders, too, see no end to the climb. “This isn’t just a blip,” warns Sushil Bafana, a seasoned jeweler from Jalgaon, polishing a tray of rings that few can afford. “Saturday’s rate was ₹91,052 per 10 grams, down a whisker from Friday’s ₹91,600. But globally, it’s chaos—$3,000 per ounce! The U.S. trade moves under Trump are shaking everything.”
A Global Gold Rush Fuels the Frenzy
The numbers are staggering. Spot gold prices have jumped 14.20% this year, riding the wave of a 27.24% surge in 2024. Why? Economic turbulence, plain and simple. Donald Trump’s trade policies have rattled markets, sending investors scurrying to gold as a safe haven. China’s central bank, meanwhile, has been stockpiling bullion like it’s preparing for a siege—four months straight of buying as of February. Add a weakening U.S. dollar (now below 103.75) and whispers of interest rate cuts in the U.S. and India, and you’ve got a perfect storm pushing prices into the stratosphere.
On the streets of Delhi’s Chandni Chowk, a hub for gold trading, the mood is tense. “It’s all tied to America and China,” grumbles Ravi Sharma, a small-time jeweler leaning against his counter. “They sneeze, and we’re the ones catching the cold. My customers ask me why a simple chain costs ₹50,000 now. What do I say? Blame Trump?”
Weddings Without the Golden Glow
In Kashmir, where gold isn’t just jewelry but a cultural cornerstone, the price surge is a gut punch. Junaid Mushtaq, a Srinagar shopkeeper, stands in a narrow lane, frustration etched on his face. “My sister’s wedding is in two months. I’ve saved ₹1.5 lakh over a year, but the bangles she wanted? ₹2 lakh now. We’re talking about borrowing money or skipping gold altogether. It’s humiliating.”
Walk into any Kashmiri home during wedding season, and gold is everywhere—gifted between families, worn by brides, treasured as legacy. But this year, the sparkle is fading. “People are buying less, sometimes just a ring instead of a set,” says Javid Ahmad, a goldsmith in Srinagar’s old city, hammering a thin sheet of metal. “The middle class is out. Only the rich are still in the game.”
Down south in Hyderabad’s Laad Bazaar, it’s a similar story. “Gold is our tradition, but at ₹7,390 per gram for 24-karat, who can keep up?” asks Ayesha Begum, a mother of three, haggling over a pair of earrings. “My neighbor’s daughter got married last week—plastic jewelry instead of gold. We never thought we’d see this day.”
The Business of Gold Takes a Hit
Jewelers, caught between soaring costs and shrinking demand, are reeling. Bashir Ahmad Rather, head of the All Kashmir Valley Gold Dealers and Workers Union, doesn’t mince words: “Business is bleeding. Families who’d buy 50 grams for a wedding are down to 10, if they buy at all. We’re banking on the wedding season, but these prices? They’re killing us.”
The stats back him up. India’s gold demand sank to a six-year low in May 2023, with a 17% drop in the March quarter year-over-year. The All India Gem and Jewelry Domestic Council (GJC) fears prices could hit ₹74,000 per 10 grams by year-end if global tensions don’t ease. For now, 22-karat gold sits at ₹6,775 per gram—a number that’s less a price tag and more a warning sign.
Who’s Behind the Madness?
The culprits are many:
1. Global Volatility: Trump’s trade wars have spooked markets, making gold the go-to shelter.
2. Gold-Hungry Banks: China’s buying spree is tightening supply.
3. Inflation Jitters: With prices rising unpredictably, gold’s a shield—albeit an expensive one.
4. Dollar Blues: A weaker U.S. dollar means pricier gold in rupees.
5. World on Edge: Geopolitical flare-ups always send gold soaring, and 2025 is no exception.
In Mumbai’s Zaveri Bazaar, trader Anil Jain shrugs as he tallies the day’s meager sales. “It’s a chain reaction. America fights with China, China grabs gold, and we’re left counting losses. Simple.”
A Tradition Priced Out of Reach
Gold isn’t just metal in India—it’s a lifeline. Weddings, festivals, a nest egg for tough times—it’s woven into the fabric of life. But for the middle class, that fabric is fraying. “My wife and I bought gold every Diwali,” says Manoj Gupta, a schoolteacher in Lucknow, sipping chai at a roadside stall. “This year? We’re looking at silver. Gold’s for millionaires now.”
Alternatives are popping up—digital gold, silver, even property—but they lack the soul of tradition. “I tried convincing my mother to skip gold for my wedding,” laughs Priya Sharma, a 26-year-old from Pune. “She looked at me like I’d lost my mind. But honestly, what choice do we have?”
What Lies Ahead?
The horizon offers little hope. Experts say without a seismic shift—say, a trade truce or a slump in global demand—gold’s ascent won’t slow. For now, families face stark options: buy less, switch to fakes, or let traditions bend to a new, leaner reality.
In Nashik’s Saraf Bazaar, an elderly woman clutches a tiny gold coin, her only purchase after hours of browsing. “It’s all I can afford,” she murmurs. “The rest will be memories.” Across India, millions echo her sentiment—gold, once a birthright, is now a mirage shimmering just out of reach.
