How Rising Gold Prices Will Impact The Upcoming Wedding Season?
The wedding season buying in the city is witnessing a muted response due to the rising gold prices in the backdrop of the ongoing Russia-Ukraine war.
Due to rising geopolitical threats, concerns over harsh sanctions on Russia, and potential disruptions in commodity supply, gold prices have risen alongside the US dollar. Given that India is by far one of the largest importers of gold and that Russia is one of the top exporters of gold, it is important to take into account how the increase in gold prices will impact the wedding season in 2022.
To understand the impact these rising import costs will have on the gold cost and thereby on the upcoming wedding season, to spoke to some leading voices from the wedding industry, here is what they had to say:
Aashish Walia, Director & Marketing - Fabled Minds MICE & Events Pvt. Ltd
I continue to stay positive and look forward to the upcoming wedding season in 2022. Couples have waited, postponed, or delayed their wedding plans due to Covid in the last 2 years. Yes, there will be an impact on cost due to the increase in gold prices because of the ongoing Russia-Ukraine war. But I foresee Indians wanting to continue with their pending wedding plans and celebrate the festivities with their loved ones.
Arpita Gandhi, Director, and Co-Founder of Weddingline Events & Hospitality Pvt Ltd
The energy crisis due to the Russia-Ukraine war has given rise to rampant inflation. Prices of gold which are essentially perceived as a hedge against inflation may continue to rise till the scenario stabilises. In the case of Indian weddings or any major celebration in our culture, gold is the first form of Stri- Dhan and gifting option that is considered by most families. However, all spending on celebrations has been largely curtailed due to the pandemic for the last 2 years. That being the case, a cumulative pent-up demand along with the metal being considered a safe investment to my mind will only increase its demand in the coming wedding season.
Neelabh Kapoor, Creature Director,Studio Neelabh Luxury Weddings and Entertainment
Post-Covid, wedding trends have changed significantly. People now favor small, private destination weddings over large, packed nuptials. Pre-covid wedding investments were 80-20, signifying that 80 percent will go towards wedding investments and 20 percent would be for gifting couples, but post-covid ratios have changed, as have the investments.
When it comes to Indian weddings, gold is a necessity, but folks are also investing in other types of investments, such as real estate or diamond or platinum jewelry to give as gifts to the newlyweds. Therefore, it is now 50/50. However, despite the fact that the energy crisis brought on by the Russia-Ukraine war has resulted in rapid inflation, gold was, is, and always will be a wise investment.
Prerana Agarwal Saxena - Founder & CEO at Theme Weavers Designs
Indian weddings are celebrated unceasingly with gold to mark the big and beautiful occasion of life. Even though more serene and sustainable weddings are trending today, the grandiose and luxury of Indian weddings stay consistent in a different way. With the increase in the gold price due to the Russia-Ukraine war, I perceive that the fashion of luxurious wedding will tweak into a celebration of an intimate gathering but will retain its elaborate centerpieces of gold, bronze, or silver. Gold has become a safe haven demand for weddings and will continue to be, which helps to drive up the supply-demand factor considerably. Gold as a color also has a significant emphasis in weddings for its lavish and captivating look and feel. For instance, at a recent Frida Kahlo-themed wedding planned by us, we replaced welcome garlands with golden brooches that grabbed everyone’s attention. Beyond rising prices, gold is irreplaceable in Indian weddings in any form.
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