India Bullion and Jewellers Association Urges Clarification On PM’s Statement Concerning Gold Purchases
Following Prime Minister Narendra Modi’s appeal for austerity and prudent spending, the India Bullion and Jewellers Association (IBJA) has called upon jewellers and consumers to stay composed, avoid panic-led decisions, and continue business activities responsibly. While recognising the Prime Minister’s suggestion to limit non-essential gold purchases amid current economic conditions, IBJA reiterated that gold continues to hold deep cultural importance and remains a reliable financial asset for Indian families.
The association has encouraged jewellers to promote informed and necessity-based buying, while also advocating the recycling and repurposing of existing gold jewellery along with transparent trade practices to maintain market stability, consumer trust, and the long-term strength of the domestic bullion and jewellery industry. The statement was issued by Anurag Rastogi, North India Head, IBJA.
IBJA’s Advisory To Jewellers
IBJA clarified that the Prime Minister has not instructed jewellers to shut shops or discontinue gold sales. Instead, the message highlighted the need for restraint during a challenging economic phase, suggesting that people reduce gold consumption, wherever possible, for the coming year.
The association stated that this should not be interpreted as a complete halt on purchases. Consumers are advised to buy only according to their essential requirements and consider recycling or refurbishing old gold already available at home.
IBJA has appealed to jewellers not to panic, adding that solutions ensuring business continuity are expected to emerge over time. The association believes the government may have a broader roadmap, the details of which could become clearer gradually.
The matter is currently under serious review, with discussions underway with various agencies. IBJA assured that any developments or decisions will soon be communicated to jewellers and the media.
Until then, the association has made it clear that it does not support any form of agitation, aggressive protest, shutdown, or opposition against the government. It reiterated that traders have consistently supported the government and will continue to do so.
Jewellers across the country have been urged to continue operating their businesses normally and responsibly.
Appeal To Consumers
IBJA has also requested consumers to take the Prime Minister’s remarks seriously and adopt a more cautious approach toward gold buying.
The association suggested that if a customer intends to buy 100 grams of gold, they should instead limit purchases to only the minimum quantity genuinely required.
As India largely depends on imported gold, such imports lead to substantial foreign exchange outflow. IBJA therefore encouraged consumers to recycle unused gold lying at home and convert it into new jewellery wherever possible.
The Way Forward
IBJA stated that it will soon initiate discussions with the government regarding the matter. The association noted that any major slowdown in gold sales could impact GST collections, income tax revenues, banking facilities such as CC/OD limits, and the livelihoods of nearly one crore individuals associated with the jewellery industry. Concerns related to employee salaries and business sustainability may also arise.
The association emphasized that all these issues will be discussed in detail, though the process may take some time. Until further clarity emerges, IBJA has urged the trade fraternity to continue business operations in a serious and normal manner, while avoiding any actions or atmosphere that could aggravate the situation further.