Amidst the havoc of Corona, an industry organization in the country believes that the demand for jewelery and gold could decline by 30 percent in 2020 due to the lockdown caused by Corona. Gems and jewelery account for seven per cent of India's gross domestic product (GDP), but the industry is completely stalled by the lockdown.
Further in its statement, the Indian Chamber of Commerce (ICC) said on Thursday that the demand for the jewelery industry rests largely on the wedding season. Due to Coronavirus such events have been canceled and shopping for marriage has stopped. According to the statement, the demand for gold in 2020 was estimated to be 700 to 800 tonnes. India's annual average gold demand is around 850 tonnes. Demand was affected by price fluctuations even before the coronavirus spread.
According to the ICC regarding this case, outbreak of Coronavirus will have a significant negative impact on employment and income. In 2020, the demand may fall by 30 per cent to 690 tonnes. Due to Kovid-19, the economic condition of the gems and jewelery industry has been badly affected, but the biggest impact of this has been on the laborers who eat daily, they have become unemployed due to lockdown. There are about 50 lakh people employed in this industry.
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