Gold prices in the world’s second biggest buyer of the precious metal have surged 22% so far this year, after rising 15% in 2023.
Soaring gold prices have led many Indian families to opt for lightweight and lower-carat jewellery to stay within their budgets, industry officials said.
Indians traditionally prefer jewellery made in 22-carat gold, which contains 91.7% pure gold, while 18-carat gold contains 75% pure gold and 25% other metals. The price of 18-carat gold is nearly a fifth lower than that of 22-carat gold.
“Lower prices and greater durability are making 18-carat jewellery increasingly popular.
