New Delhi: Prime Minister Narendra Modi’s recent appeal on postponing gold purchases has placed the jewellery trade at the centre of a larger economic and retail conversation. While some jewellers remain concerned about the possible impact on wedding-season demand and store footfall, a growing number of retailers are using the moment to promote old gold exchange, redesigning and recycling as practical alternatives for customers.
The appeal comes at a time when India’s dependence on imported gold is once again under sharp focus. According to reports, India meets almost all of its gold consumption through imports, making gold buying closely linked to the country’s foreign exchange outflow.
Commerce Ministry data underlines that India’s gold import bill touched US$ 71.98 billion in FY26, compared with US$ 58 billion in FY25. However, the rise in value was not because India imported more gold in quantity. In volume terms, gold imports declined to 721.03 tonnes in FY26 from 757.09 tonnes a year earlier, showing that elevated international gold prices pushed up the overall import cost.
The country-wise import also explains why the issue has become economically important. Switzerland remains India’s largest gold supplier, with a share of about 40%, followed by the UAE with over 16% and South Africa with about 10%. Gold also accounts for more than 9% of India’s total imports, making it a significant factor in the trade deficit and foreign exchange discussion.
The government has also raised import tariffs on gold and silver from 6% to 15%, a move described as an effort to curb overseas purchases and ease pressure on foreign exchange reserves. This policy backdrop has added further weight to the industry conversation around recycling, exchange-led buying and better use of existing household gold.
Against this backdrop, jewellers are attempting to turn the national appeal into a customer-friendly message. Their communication is not asking consumers to move away from gold completely. Instead, it encourages them to unlock the value of jewellery they already own, bring unused ornaments back into circulation and convert old pieces into newer, wearable designs.
Retailers such as SKT Gold & Diamonds, NAC Jewellers, Samdariya Abhushan, Shree Meher Jewellers, Kothari Jewellers and Madanlal Chhaganlal have shared campaigns around this idea. Their messaging focuses on old gold exchange, redesigning, recycling, reduced fresh imports and smarter use of household gold.
Kothari Jewellers has joined the conversation by presenting redesign as a long-standing belief rather than a temporary response. Its campaign encourages customers to upgrade the gold jewellery they already own and transform old gold and diamonds into modern pieces. The brand’s message around recreating, redesigning and rewearing positions existing jewellery as value that can be renewed instead of lying unused.
Madanlal Chhaganlal has also built its communication around the idea that India already holds large quantities of gold within homes, lockers and inherited collections. The brand is encouraging customers to transform existing gold into new designs, wedding gifts or refreshed jewellery without adding pressure on fresh gold buying.
NAC Jewellers has highlighted old gold exchange, savings schemes and digital gold-linked options as ways for customers to continue engaging with gold responsibly. Its campaign connects recycled gold with reduced forex pressure, presenting old gold circulation as a practical alternative to new imports.
Shree Meher Jewellers has taken a similar route with its “Smart Gold. Stronger India” positioning. The campaign encourages customers to exchange old jewellery for new designs while supporting a more self-reliant approach to gold consumption. Samdariya Abhushan has also urged customers to upgrade what they already own, presenting old gold exchange as smarter for the consumer and better for the market.
SKT Gold & Diamonds has linked the Prime Minister’s appeal with national economic responsibility, highlighting themes such as stabilising gold demand, supporting the economy and building a stronger India.
For jewellers, the challenge is to balance national economic priorities with business continuity. Gold in India is not only a commodity; it is connected with weddings, family legacy, tradition and long-term savings. This makes any appeal to delay purchases sensitive for retailers, artisans, manufacturers and consumers.
However, the response from these jewellers shows that the industry is finding a middle path. Instead of allowing the appeal to become a pause in customer engagement, retailers are using it to promote old gold exchange, redesign-led buying and recycling-led retail.
This approach may help jewellers keep customer conversations alive while aligning with the broader national message. It allows the trade to remain active, supports store-level engagement and gives consumers an alternative to fresh gold purchases at a time when gold prices, import dependence and global uncertainty continue to influence buying behaviour.
The message now emerging from the trade is clear: fresh gold buying may slow, but gold can continue to move within the economy through reuse, redesign and responsible exchange. For the jewellery sector, this could turn a challenging moment into an opportunity to build a smarter conversation around India’s existing household gold.
