Why India Spent Rs 1.25 Lakh Crore on Dhanteras While Gold Stayed Pricey

Keypoints:

• Dhanteras trade is estimated at Rs 1.25 lakh crore, a record for India's retail sector, according to the Confederation of All India Traders (CAIT)
• Gold and silver sales crossed Rs 66,000 crore, nearly 53% of the total
• Delhi's bullion market contributed over Rs 10,000 crore
• Delhi gold stood at Rs 1,48,800 per 10 grams on Thursday, about 19% below the January 2026 record
• CAIT expects Navratri-to-Diwali trade to top Rs 7 lakh crore, up 15-18% from about Rs 6.05 lakh crore last year

Dhanteras, the opening day of India's Diwali season, generated an estimated Rs 1.25 lakh crore in business, according to CAIT. That is 1.25 trillion rupees. The trade body calls it a record for the country's retail sector. Shoppers filled jewellery markets, car showrooms, electronics hubs and neighbourhood stores.

Gold and silver did the heavy lifting. The All India Jewellers and Goldsmith Federation (AIJGF) estimates their sales crossed Rs 66,000 crore. That is nearly 53 percent of all Dhanteras trade. Delhi's bullion market alone is estimated to have added over Rs 10,000 crore.

Dhanteras is a traditional gold-buying day, so it works as a yearly test of how much appetite households have. This year the test came with high prices. Gold in the capital sat at Rs 1,48,800 per 10 grams (24-carat, including taxes), about 19 percent below its record Rs 1,83,000 from 29 January. It is still well above last year's level. On Dhanteras 2025, 24-carat gold was Rs 1,21,164 per 10 grams.

Buyers adapted instead of staying home. Traders reported strong interest in 14-carat and 18-carat jewellery, silver coins and silver articles. Lighter pieces let families keep the ritual while spending less per purchase. CAIT Secretary General Praveen Khandelwal also credited a rising preference for Indian-made products.

A few caveats apply. These are estimates from trade bodies, not audited sales data. Business Standard separately reports that India's gold demand is likely to fall to a six-year low in 2026 because of the price rise. The World Gold Council's third-quarter report shows Indian gold demand rose 24 percent from the previous quarter to 162 tonnes.

So here is the puzzle. A record in rupees can partly reflect higher prices rather than more gold bought. Does a record festival tell us that appetite is growing, or only that each purchase costs more?