General Look At The Gold Market Of India After Wake Of Corona Virus

Hit by the Covid-19 slump followed by social distancing and a nationwide lockdown, businesses are experiencing major impacts and having to re-look at how they manage and operate their business including re-visitation of their business plan. During such testing times, entrepreneurs will have to adapt to a new set of rules and be mindful of the following aspects to alleviate risks and to survive the slowdown caused by the impact of COVID19.

But, there are a few sectors that cannot be reformed because they run on economy. One such industry is of precious metal GOLD. After lockdown, we recently witnessed that gold prices have surged strikingly high in India. Now the question is, how are businessman in gold businesses managing their work, what are their strategies & forecast after lockdwon. Best guidance comes from a  great businessman who is facing crisis and still managing to take care first of his employees, and then of his families. To get more legit answers, we spoke to two young entrepreneurs who run businesses in gold and they had best answers to the questions that we all are curious to know about. 

After the huge corona crisis began, a businessman has suffered the most during this lockdown. What were the immediate actions taken to deal with the crisis ? 
Unlike any other business which is socially responsible, Nikhil Jain who owns Dharma Jewellers in Meerut firstly ensured safety about his staff and family. Right from the day when Janta Curfew was declared in India, operations were put on hold while ensuring necessities are available for his employees during the lockdown. On the contrary, as business perspective, Akash Maglik who owns Bhagat Jewellers seized the opportunity to create market presence by brainstorming on creating an online presence. He also maintained relations with his business collaborators & buyers digitally.  

Current gold rates & future plan to manage the business as this sector cannot be reformed.

Mr. Nikhil Jain owner of Dharma Jewellers, Meerut says, "Currently, Gold prices are highest in our country because of non existence of support by the government as custom & excise duty are the highest in India. Since business is bearing a lot from the every corner from economy surge, higher prices, no demands and no operations possible, they are trying their best to cut down the expenses as tough times are yet to come."

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Mr. Akash Manglik owner of Bhagat Jewellers, Meerut adds, "Gold rates are high because its is the only liquid & reliable commodity for investment these days. This reliability factor is in favor of our trade."

Difference in the revenue generated and future prediction.
Mr. Nikhil Jain shared some insights to this questions which has given a clear prediction for this market in long run. Gold has been a precious ornament in big fat Indian weddings. It had been considered auspicious & blessing to the newly brides. Wedding that happened during lockdown were only limited to the home premises, markets were shut and it is expected to be followed by Indian families in long run. Resultant, there is going to be a downward sloping graph for jewellery demand. Before covid19 had hit, people had already been reluctant to wear gold in day to day life and appetite for general use had already faded.

Mr. Akash Manglik has forecasted that till September jewellery market will be a red zone, then there will be a yellow zone with diwali season followed with a green zone when market will reestablish. It is hard to decide when will be the green zone but whenever it may be, it is going to be a brighter one for everyone who is into any form of business.

Have you ever faced such economic surge previously other than this pandemic period ? 
NEVER!, says both the young entrepreneurs.. Nikhil adds, "Cyclic depressions in Gold has been there since the developments and reforms came into existence in India, but this time.. situation seems to be critical ."

One general advise to the other businessmen during this pandemic that others should learn from you. 
Mr. Nikhil Jain advised "Don't wait any help from Government in any form, you are not the vote bank you will alone have to suffer and cure your wounds so be prepared to fight this battle in long run by covering shield of your own courage. Morally, we have to look after the well being of our workers too. Don't escape this responsibility, control the expenses and wait for the dawn soon overcoming this night. Stay Positive!"

Mr. Akash Manglik recommended by saying that "Keep an eagle’s eye on the changing circumstances of your business. Don’t panic, have patience, start your move when right time comes."

In these difficult times it is important to stand united and help one another in whatever way we can.Stay safe and stay healthy. Remember that some of the best initiatives are built in trying times. Like all difficult situations, this too shall pass!