The only downside: the shortages due to the supply crisis and the semiconductor problems, which have seriously affected the automotive industry. Gold sellers have also reported shortages due to supply constraints, especially for coins which are generally in high demand on the Dhanteras.
TOI spoke to a cross section of businesses and retailers across the country, and the mood was upbeat, albeit marred by shortages.
âThe market is back on track, and at pre-Covid levels in terms of demand. There is a big rush and big buying, âsaid Akhil Nirankari, director of Narang Nirankari Jewelers in Delhi. Nirankari said the rationalization of gold prices in recent months and the ongoing wedding season contributed to the rush.
Ajoy Chawla, CEO of Tata Group’s Titan jewelry division, said demand has been robust across all price categories for gold jewelry and diamond jewelry.
âThis year we are seeing a lot more people in the market compared to last year. The trend has been strong in recent months and continues on Dhanteras, âsaid Chawla, adding that the lack of consumption in travel, movies and even automobiles (due to supply constraints in cars) has led to a good demand for jewelry with an increased share portfolio.
âThe wedding season is only increasing that number, and demand remains strong across the country, including in Tier 3 and Tier 4 areas,â said Chawla, whose company operates 540 stores across the country.
MMTC-PAMP India, a business between state-owned MMTC and Swiss company PAMP SA, has seen strong demand for its products, said Managing Director Vikas Singh. However, he said the shortages spoil the party. âGold is out of stock. The money is out of stock.
But while shortages are something of an irritant for gold sellers, the problem is very serious for the auto industry. The numbers tell the story: Hard hit by the semiconductor crisis, Maruti has a delivery book of 2.5 lakh cars, Hyundai has a lakh of cars on hold, and even luxury maker Mercedes-Benz has around 2,500 to 3,000 vehicles awaiting delivery. which is almost equivalent to two and a half to three months of its regular inventory.
In the auto industry, some dealers wore a sad late night look as almost all stock was sold out, including show cars. And while deliveries have taken place, the waiting period was excruciating for many as it can be up to six months on some models.
âMany of our showrooms are almost empty. All the cars have been sold and we don’t even have show cars, âsaid Santosh Iyer, Sales and Marketing Manager at Mercedes-Benz India. âWe hope to deliver over 500 cars to Dhanteras, which would be almost the same as last year. We run out of cars to give away, just when the customers are there and waiting.
Shashank Srivastava, director (marketing and sales) at Maruti Suzuki, said the numbers are strong and close to last year’s levels of around 15,500 vehicles, although they are lower than 2019 volumes. âIt is disappointing to see the waiting period even though we keep customers informed. We are trying to increase production as much as possible, but the pending list is very long.
Tarun Garg, director of sales and marketing at Hyundai India, also said demand is high and the only constraint is supply. âWe hope to deliver at least 4,500 cars to Dhanteras, almost three times what we would do on a non-festive day. The wedding season only complicates things for us as the demand is always high. ”
On the durable goods and white goods side, demand was once again robust, especially as big-screen TVs and high-end washing machines and refrigerators were in demand. âThe market is definitely stronger compared to last year, and we are seeing an estimated 30-35% growth in value from Dhanteras sales in 2020. There has been a remarkable response from customers. for large screen premium televisions, especially the 55 ‘. inches and above, âsaid Sunil Nayyar, Managing Director of Sony India.
Not only televisions, demand remains strong even for sound bars and headphones.
Samsung retailers also reported strong activity and said sales would be at least 20-25% higher than the last Dhanteras. The solid numbers come in even though consumer prices have risen due to increased inputs on most products.