Jewellery retailers are happy after the Centre rescinded the applicability of PMLA on purchases of precious ornaments worth Rs 50K and more
After witnessing a slump in sales for almost a year following demonetisation and introduction of GST, textiles and jewellery retailers seem to be on the path of recovery ahead of Diwali. Consumer durables, however, are still to recover. Overall, traders feel that consumers' purchasing power has gone down and the increased footfall is not leading to increased sales.
"We were worried about the impact of GST on the textile sector. But, Diwali sales started picking up from the last week of September and now have gone up by 10 per cent, as compared to last year," said Nalli Kuppuswami Chetti, owner of Nalli Silk Sarees.
He further said that the perception that GST will impact the sales proved to be wrong. He, however, noted that the purchasing power of people has gone down, as compared to last year.
Meanwhile, despite the rain, Chennai's shopping hub T Nagar brimmed with people on Monday. S. Raghuraman, a private employee, who was out in the market to buy new clothes for his children, said: "This is a very tough year. The cost of essentials and other goods has skyrocketed. We decided to buy new clothes for only the children due to financial constraints."
S. Sampath, a fireworks retailer at Vadapalani, said the sale of crackers at his shop has gone down by 35 per cent . "The cost of crackers has gone up by over 40 per cent compared to last year, all thanks to the 28 per cent GST. People are buying fewer crackers due to their high cost," he said.
Jewellery retailers in the state, however, are happy after the Centre rescinded the applicability of the Prevention of Money Laundering Act (PMLA) on purchases of precious ornaments worth Rs 50,000 and more.
"After a steep fall in the footfall, we are seeing an increased turnout at jewellery shops. Even though Diwali is not our peak season for gold sale, we are seeing good sales after months of poor sales," said AS Sriram, president of the Tamil Nadu Jewellers Federation.
He, however, noted that if the gold sale was compared to last year's Diwali, then it was not up to the mark.
ALL HOPES ALIVE...
- Despite the rain, Chennai’s shopping hub T Nagar brimmed with people on Monday.
- Jewellery retailers are happy after the Centre rescinded the applicability of PMLA on purchases of precious ornaments worth Rs 50K and more.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
 "Diwali")
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}