India need not import gold in near future

S Vishnu Sharmaa, INN/Chennai, @Svs037

India need not look towards importing gold in near future, thanks to precious metal that lies in our nation, say businessmen involved in gold business.

If government takes over the gold that lies in India most of which is not in use, the need to import gold can be done away, say representatives of Madras Jewellers and Diamond Merchants Association (MJADMA).

President of MJADMA Jayanthilal Challani says much of the unused gold lies in households of India, if that could be brought into the market, country can see lot of betterment.

A proposal has been submitted to Union Finance Minister Nirmala Sitharaman requesting her to consider bringing out the unused gold in the households into the market, say the representatives.

While the practise of giving out loans on gold and jewels is yet to become popular in our nation, gold and diamond merchants could be involved in the process of issuing loans on precious metal and jewellery.

It is customary for people to approach gold and diamond merchants to purchase the precious metal most of the time, the tendency to trust the gold businessman and being associated them for a long duration is a common trend in India.

Banks also could be also be made to provide interest and gratuity on gold deposited with them. Pointing towards the economic slowdown he says gold business too has not managed to stay aloof from it.

While gold sector has witnessed a 30 percent decline in the business, but the gold merchants are not worried, thanks to the forthcoming festive time and marriage season. That offers us lot of hope, says Challani.

That is the time where sales will be seen in good number which will develop business and also enhance revenue. Gold is always an alternative revenue earner for our country and the world, that is why it attracts  good deal of investment.

Also employee strength has not seen any reduction during the slow down. Many of them are been associated with us for generations, that is why their strength has not seen any downsizing.