Money

Tihar records sale of Rs652m of gold, silver

- Post Report, Kathmandu

Oct 23, 2017-The country saw sales of around Rs652 million of gold and silver during Tihar, one of festivals considered auspicious for buying bullion, according to traders.

The country recorded sales of around 35 kg of gold per day and around 500-700 kg of silver per day mainly during the three days of Tihar starting from Dhanteras that fell on Tuesday through Laxmi Pooja on Thursday.

Sales recorded on these three days marked a jump of around 30-40 percent compared to the same period of last year.

Last Tihar, the country had witnessed sales of around 27 kg of gold per day and around 450 kg of silver per day during Tihar.

As per the current market price, a kg of silver costs Rs68,400 per kg while a kg of gold costs Rs5.04 million.

Based on these rates, it could be said the country saw sales of gold and silver worth Rs652.3 million during Tihar. Tihar is celebrated for five days, but sales of bullion surge during the first three days of the festival.

Mohan Kumar Sunar, president of the Federation of Nepal Gold and Silver Dealers’ Association (FNegosida), called the sales “encouraging”.

Ramesh Maharjan, president of the Federation of Nepal Gold Silver Gem and Jewellery Association, on the other hand, said sales of jewelleries exceeded expectations of retailers this Tihar. New Road, Pyukha, Gucha Tol and Bishal Bazaar are some of the major bullion trading hubs in the country.

Bullion sales generally surges during Dhanteras, the second day of Tihar. This day is considered auspicious for purchase of bullion and items made of bullion.

On this day, gold sales shot up to 40 kg while around 700 kg of silver was sold, according to former FNegosida president Tej Ratna Shakya.

Some of the items that are sold like hotcakes on this day are gold and silver coins and utensils, idols of Goddess Laxmi, and jewelleries made of gold and silver.

“Lately, people of all income groups try to purchase something made of bullion during Dhanteras,” Sunar said. “This emerging trend is pushing up sales of bullion during Tihar.” Gold price stood at Rs56,000-56,400 per tola and silver was traded at Rs760-765 per tola during Tihar.

At present, the Nepal Rastra Bank, the central bank, allows commercial banks to import 20 kg of gold per day.

The extra market demand during Tihar, according to traders, was met through gold jewellery brought into the country by Nepalis who had gone abroad, and recycling of old jewellery.

It is also said gold smuggled into the country helped traders to meet the rising gold demand during Tihar. 

Published: 23-10-2017 08:58

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