The All India Gem and Jewellery Domestic Council has warned that Prime Minister Narendra Modi's appeal to reduce gold jewellery purchases could significantly impact employment across the sector. Rajesh Rokde, Chairman of the council, told ANI that the jewellery industry contributes around 7% to India's GDP and supports more than one crore people directly through showroom employment and artist work. He emphasized that several allied sectors including insurance, banking, furniture, packaging and logistics are also dependent on the jewellery industry, making any restrictions a concern for big unemployment.
Union Minister Ashwini Vaishnaw on Monday reiterated Prime Minister Narendra Modi's call to reduce spending on imports and help the country save foreign exchange. Speaking at the CII Annual Business Summit 2026 in New Delhi, Vaishnaw emphasized that recent developments in the Middle East conflict have made it clear that peace remains distant. According to reports from The Times of India, the minister stated that since the war is still ongoing and yesterday's developments indicate a truce is still far away, every Indian can play a role in protecting the country's economic interests. Vaishnaw echoed the Prime Minister's appeal, calling businesses and individuals to contribute "within their own means" and urging all to take cognisance of the call to reduce expenditure on everything that requires foreign exchange.
Speaking at the same CII Summit, Sunil Bharti Mittal, founder and chairman of Bharti Enterprises, urged India Inc to step up domestic investments despite mounting global economic uncertainty. Mittal said India's growth momentum remains intact despite external disruptions and called on the private sector to support the economy through higher investments and job creation. "These are difficult times. As a country, we had been moving at a fantastic speed, growing at 6-7% year-on-year. But situations have developed that are beyond anybody's control," Mittal said. He noted that the ongoing conflict in the Middle East was creating major disruptions for the global economy and warned that India would not remain insulated from the broader economic impact.
The All India Gem and Jewellery Domestic Council has submitted a comprehensive Gold Monetisation Scheme proposal to the government, according to ANI reports. Rokde revealed that Indians are estimated to hold around 40,000 to 50,000 tonnes of gold across the country. He stated that if even 10 to 20% of this gold is monetised, it could significantly reduce dependence on gold imports. The council has submitted an end-to-end solution of monetization to the government, with Rokde adding that if implemented effectively, India may not need to import gold for the next 10 years.
Following the Prime Minister's remarks, major jewellery stocks on the National Stock Exchange came under significant pressure on Monday. According to ANI, PNG Jewellers declined around 8%, while Kalyan Jewellers fell 8%. Thangamayil Jewellery shares declined around 4%, and Titan Company stock dropped more than 6%. Rokde noted that while he supports discouraging bullion and coin purchases for investment purposes - stating 'I consider it absolutely right to stop buying bullion, buying coins' - he warned against broad restrictions on jewellery purchases given gold's deep cultural significance in India.
