One thing which every government has tried to control, but has not been successful in taming, generation and absorption of black money in the whole bullion market supply chain which includes the jewellery industry. Right from a token tax on gold buying to track transactions to many other efforts the list is endless. While it might take time, the way the regulatory mechanism is evolving, over a period of time, there is a high probability that there would be more measures which would come into place which will lead to lesser use of cash in this industry. As that happens, two trends are likely to emerge, first there would be a shift toward branded jewellery chains. Second, the street would have faith on the balance sheet of other players besides the largest player which is a well known multibagger.
