Jewelry company "Tata Group" (India) offers customers to buy yellow metal from ATMs. These special devices for selling gold coins were placed in more than 20 stores of the company throughout the country. ATMs issue small coins by weight - 1-2 grams. Each coin is sold in a special package. After customers select a particular product, the ATM scoreboard displays the amount to be paid to receive the product.
They began selling gold coins at ATMs on the day of the annual Hindu holiday Akshaya Tritiya. In 2022, Akshaya Tritya was celebrated on May 3. In India, this day is considered the most favorable for successful undertakings. In Sanskrit, the word "Akshaya" means "invincible, immortal, eternal, indestructible," while "Tritya" means the third lunar day. Akshay Tritya Day is also considered a favorable moment for buying gold products. Even low-income families buy dragmetal. Indians believe that wearing gold jewelry brings good luck. They believe that yellow metal is the metal of demigods and kings.
It is from the day of Akshay Tritya celebrations in India that the Vedic wedding season begins. Usually on this day, prices for jewelry and gold rise in the country. According to the All India Jewelers Federation, sales of precious metal on Akshaya Tritya occupy the 2nd place in terms of volume per day per year.
Ajay Chawla, chief executive officer of Tata Group, noted that customers were delighted that now there was an opportunity to buy gold from ATMs. Many Indians want to buy gold as a symbolic gift on Akshay Tritya day. Therefore, there are usually large queues in stores. Some people do not have time to purchase precious metal, which greatly upsets them. Against this background, the company decided to increase the number of outlets in order to solve this problem. In the future, it is planned to place another 60 ATMs on the territory of the company's branded stores.
India is one of the largest gold-consuming countries in the world. The volume of precious metal consumption in the country is almost 1 thousand tons per year. According to this indicator, only China is ahead of the country. However, in the 1st quarter of 2022, gold sales in India decreased by 18%. According to the World Gold Council, the reason for the decline in sales of yellow metal was a sharp increase in prices for precious metal. From January 1 to April 14, 2022, the value of gold in India rose by 9.87%, ahead of the inflation rate, which was 6.95% in March. The demand for yellow metal in physical terms was 165.8 tons in the first three months in 2021, and in 2022 over the same period the figure reached only 135.5 tons. In value terms, gold demand fell 12% between January and March. The aggregate demand for jewelry in the country for the 1st quarter fell by 26%, to 94.2 tons. For the same period last year, it amounted to 126.5 tons.