The Indian government’s decision to increase the import duty on gold to 15 percent is not expected to significantly impact wedding purchases, according to industry experts. While jewellers predict a shift towards lighter-weight designs, the overall spending on gold during wedding seasons is likely to remain robust due to strong cultural ties to these purchases.
Industry stakeholders believe that jewellery buying for weddings, deeply rooted in Indian customs, will continue unabated, despite rising gold prices and duties, which may alter consumer purchasing patterns but not suppress demand.
Suvankar Sen, Managing Director and CEO of Senco Gold Ltd, stated that, although the increased duties may lead to a moderation in gold imports, the foundational demand for wedding-related jewellery remains stable because of cultural traditions. He added, “What we are more likely to witness is a shift in consumer behaviour, with customers opting for lighter-weight jewellery, including 9kt, 14kt, and 18kt options, along with exchange-led purchases and more value-oriented designs to optimize budgets while continuing wedding-related buying.”
Market analysts indicated that while the industry could experience value growth due to higher gold prices, actual purchase volumes may feel the strain as consumers reduce quantities and overall spends. Sen remarked, “The industry is preparing for at least one year of relatively high gold import duties, which we believe could result in a 10-15 percent decrease in gold imports over time. However, we do not foresee significant risks to achieving our 20-25 percent value growth target for FY27.”
Auspicious wedding dates in May are expected to prompt jewellery purchases, with momentum anticipated to increase from mid-June through the rest of the year. Raghav Dhir, Director of Dhirsons Jewellers, commented, “Higher import duties will not impact wedding jewellery purchases, as they are an integral part of our traditions; spending typically does not reduce during these times. Nonetheless, purchases outside of special occasions may decline due to a general consumer cautiousness across various categories. Given recent gold price trends, the move towards lighter-weight jewellery is expected to become more pronounced.”
Jignesh Mehta, Founder and Managing Director of Divine Solitaires, highlighted that Indian consumers have endured multiple cycles of high gold prices, and purchases related to weddings and engagements have remained steady. However, he noted that there’s a noticeable trend of consumers being more value-conscious when it comes to quantity and design choices.
The article was published on May 13, 2026.
