How does the high Indian Rupee Rate change the dynamics of the Jewellery market? If you are still not aware and are just reading this article, just to tell you, the rupee rate of India has shot up higher than ever, and this means that the currency value of the Indian rupee has dropped drastically as against the dollar. The currency rate which was at its all time low in the beginning of the last month at INR 70.48 against 1 Dollar, began to completely dwindle down to INR 72.47. This drastic change has affected the entire economy and has especially changed the dynamics of the silver jewellery and gold market. More on that below, but as of today the rate is standing at INR 71.68 which more than a rupee higher than the all time low last month. The government is certainly trying is best to curb the problem of the increasing rate but the reasons as to why this happened are still being questioned in the parliament. But I am writing this article for this drastic fall in the currency value of the INR has suddenly changed the dynamics of the silver Jewellery and gold market in the country. The Modi government had already mentioned his concerns related to precious metal consumption in the country and had already announced measures to keep strict checks on gold consumption from the minutes details as to how much weight of gold can a single person own in his / her bank locker. With the fall in rupee rate, a possible reason could be the massive precious metal consumption in the country. This has changed the dynamics in the country due to so much political pressure on the precious metal. This political pressure has also been felt by traders of silver jewellery made from this metal. Silver imitation artificial and fashion jewellery are becoming more and more popular anyways since most young women and girls of today are least interested in wearing precious metal jewellery. They like to wear jewellery for fashion and beauty which the Silver imitation artificial and fashion jewellery serve way better than any kind of precious metal jewellery. With the current changes in the rupee rate it has made an opening for Silver imitation artificial and fashion jewellery to further enter the market and become more prominent commodities leaving precious metals like gold almost irrelevant to many. Anyways India comprises of a population that is generally lower and upper middle class who can barely afford the precious metal in the first place. With Silver imitation artificial and fashion jewellery now climbing their way into urban homes too they are far more respected.
Artists and designer could already not afford to experiment on precious metals like gold. And hence had to end up experimenting with Silver imitation artificial and fashion jewellery and then finally create gold jewellery in real time to avoid losing money while experiment. With the demands rising for Silver imitation artificial and fashion jewellery, artisans now can directly invest their time into creating final designs with the same materials. The current fall in the currency value of the Indian Rupee has also directly affected the prices of the precious metal. Being at an all time low of INR 38,000, it swung to INR 40,300 within a span of 15-20 days. This makes people that are marrying during this time of the year incline more towards Silver
imitation artificial and fashion jewellery slowly and gradually people begin to understand Silver imitation artificial and fashion jewellery more and regardless of the price of the precious metal feel a permanent shift towards Silver imitation artificial and fashion jewellery forever. Once a family has broken their old traditions of buying gold and being comfortable with purchasing Silver imitation artificial and fashion jewellery they certainly wouldn’t shift back. This goes on to continuing to become a family tradition and the entire family develops a form of resistance towards gold itself making it ongoing family tradition. With more and more web-stores today selling Silver imitation artificial and fashion jewellery the young women and girls of the urban world don’t not like wasting their time towards visiting a bazaar and buying expensive jewellery. They’d rather get Silver imitation artificial and fashion jewellery at their door-step without going through the hassles of facing crowds going through traffics and walking from store to store just to get good designs. With web-stores practically serving designs in hands of potential customers, what’s seen becomes what’s sold mainly, and slowly and gradually the market shifts constantly. I had once written about how the Silver imitation artificial and fashion jewellery is eating into the gold market. But with the drastic changes that have taken place with the Indian rupee, the government is going to drastically change gold consumption within the country and the dynamics of the jewellery market are going to completely change the future of the jewellery market in the future of India. Source:https://silvershinejewellery.weebly.com/home/how-does-the-high-indian-rupee-ratechange-the-dynamics-of-the-silver-jewellery-market