Rise of gold consumption in India to continue: Somasundaram PR, regional CEO for India, WGC
Somasundaram PR, the regional CEO for India at the World Gold Council.
«India will have to prepare for a rise in demand.
There is no doubt about it because we are definitely becoming prosperous,” he said in an exclusive interaction with ET.
While consumers are still not very well-versed with the interplay of the yellow metal with other assets, several local and global events over the last decade have helped showcase gold’s resilience, especially in times of uncertainty. This is seen propelling consumption in this asset class further.
“While a small segment takes global factors into consideration, I don't think we have still come to that level of sophistication.
Or awareness where we think that if the stock market is heated up, let me go and buy gold. There is just that feeling that gold will keep going up every few years,” he said.
Gold prices in India have ended higher in four out of five years between 2019 and 2023, with gains ranging between 11-28%.
That said, there are prominent changes in the way Indians are consuming gold, he said.
Trade has become much more organised with people becoming comfortable in buying gold from the organized sector. Consumers have also adapted hallmarking in a big way, and are open to buying digital gold in the form of ETFs and sovereign gold bonds even if it remains a small portion of the overall consumption pie for gold.
“…the digital engagement is very high.
