'It’s up to this industry to see how they will leverage the opportunities in new India': Mr Somasundaram talks about future of gold sector, needed policy reforms

“It’s up to this industry to see how they will leverage the opportunities in new India,” says Mr Somasundaram PR, M.D, World Gold Council, India.

FP Staff May 26, 2020 13:55:25 IST

“It’s up to this industry to see how they will leverage the opportunities in new India,” says Mr Somasundaram PR, M.D, World Gold Council, India.
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65% of the gold industry operates within the unorganized sector, making it a relatively challenging field to navigate. Add to that the increase in taxation from 10% to 12%, alongside several economic challenges in the past few years like demonetization, hallmarking, GST, etc - and the pressure to maintain stability remains high.
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Despite gold being a social symbol of wealth, status, prosperity, etc for Indians, the demand for the precious metal has dropped to zero in the lockdown. .
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A report by the WGC said, “Although some branded retailers have reported increased interest in their online platforms, logistical issues imposed by lockdown measures have made it difficult to fulfil the orders they generate.”
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Mr Som takes us through what lies in the future of this sector, and the policy reforms that organizations, as well as the government, will have to make in order to survive.

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