The sustained rise in gold prices across global markets is reshaping jewellery consumption patterns in South Asia, with growing reliance on imitation and low-carat alternatives for wedding and cultural use.
In Indian-administered Kashmir’s Srinagar, 29-year-old accountant Uzma Bashir follows gold prices closely ahead of her summer wedding. Employed at a consultancy firm, she earns less than 100 US dollars per month and intends to finance her wedding jewellery herself to avoid placing additional burden on her parents.
In South Asia, gold remains deeply embedded in wedding traditions, particularly as part of bridal dowries. It is widely regarded not only as jewellery but also as a symbol of social status and, in some contexts, a form of financial security for brides within patriarchal family structures where dowry-related demands and pressure persist.
Bashir noted that even a single gold ring now costs approximately three months of her salary, underscoring the growing affordability gap.
Price movement and market impact
Gold prices have experienced significant volatility and sustained increases. According to the reported figures:
| Indicator |
Value |
| Peak global price (29 January) |
5,595 US dollars per ounce |
| Current global price |
4,861 US dollars per ounce |
| India gold (10 grams, Akshaya Tritiya period) |
1,670 US dollars |
| Year-on-year increase (India jewellery price) |
63% |
| Decline in India jewellery demand (2025) |
24% |
The World Gold Council reports that jewellery demand in India declined by 24 per cent in 2025 compared with the previous year. Analysts attribute this to high prices affecting consumer purchasing behaviour during major festivals such as Akshaya Tritiya.
Shift towards imitation jewellery
Jewellers across the region report increasing demand for imitation products, gold-plated ornaments, and lower-carat gold. A notable trend is the emergence of “one-gram gold jewellery”, where a thin layer of 24-carat gold is applied over base metals.
In Delhi, residents such as Fatima Begum have shifted to such alternatives for family weddings due to affordability constraints. She noted that while she received around 60 grams of gold at her own wedding in 1996, current financial conditions have made it impossible to replicate similar quantities for her daughters.
In Bangladesh, similar trends are observed. According to the Bangladesh Jewellers Association, gold prices recently reached 2,200 US dollars per bhori (currently around 2,034 US dollars). With per capita income reported at approximately 2,769 US dollars, traditional gold jewellery has become increasingly unaffordable for many households.
In Dhaka’s markets, imitation jewellery is widely available at significantly lower prices, ranging from a few hundred to several thousand taka depending on design complexity. Buyers also cite security concerns, preferring imitation jewellery to avoid theft risks during public ceremonies.
Regional market decline
In Pakistan, jewellers report a decline of nearly 50 per cent in gold jewellery sales over the past year. Consumers are increasingly purchasing 12- or 18-carat gold, or shifting entirely to plated alternatives. The price of one tola of gold is reported at approximately 540,000 rupees (1,938 US dollars).
Changing perceptions
Traders in Srinagar suggest that gold is increasingly viewed as an investment asset rather than a consumable ornamental product. Despite this shift, gold continues to be regarded as a stable long-term store of value, maintaining its position as a widely preferred financial safeguard across the region.
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