Industry warns reduction in jewelry purchases could affect 10 million jobs
Over 10 million jobs could be impacted if Indians heed an appeal by Prime Minister Narendra Modi and cut down on buying gold jewelry. That's the assessment of the All India Gem and Jewellery Domestic Council.
In an interview with news agency ANI, the national trade federation's chairman Rajesh Rokde said on Monday that gold jewelry had a deep cultural importance in India and any broad-based limiting of its purchase could affect employment and economic activity in the jewelry sector.
Rokde said that Modi asking people to cut down on purchasing gold over the next year was in the "national interest," adding that the prime minister might be referring to people who buy gold for investment.
He said that while he supports discouraging the purchases of bullion and coin for investment, the jewelry industry contributes around 7% to India's gross domestic product (GDP).
"Any restriction on jewelry would raise a big question on unemployment," he stated, saying that more than 1 crore (10 million) people who work in this industry — including artisans and showroom employees — could be "impacted directly."
