If you are in India, you can’t escape from gold. Even if you don’t own any gold, you will be surrounded by it. Stop by any Indian wedding or Gowri-Ganesh Pooja, and you will be swimming in gold. Click on any financial news channel in India, and the price of gold will be front and center in the news commentary.
Gold, gold, gold: my cynical American side usually wants to view Indian gold as an archaic and spiritual holdover from the days of Ramayan chariots and Mahabharat wars. But this view is limited and incorrect. The presence of gold in Indian society represents a historic partnership embedded in both economics and spirituality. Gold in India isn’t just about showing off bling; it’s about maintaining financial stability in a world of tumultuous economic ups and downs. For many Indians, gold acts as a personal decoration, investment fund, insurance policy, and savings account – all in one.
The Economic Significance of Gold to Indian Families
For many Indians, ownership of gold acts as a hedge against economic insecurity: the more gold you have, the more secure you are. In ancient times, natural disasters, such as floods, famines, and pestilence occurred frequently.[1] Waves of invaders also repeatedly entered India, destroying crops and villages, and burning down towns. The chaos of nature and man has historically pushed Indians to invest in gold jewelry in order to safeguard the survival of their families.[2] For example, after the Indian Rebellion of 1857, where local Indian soldiers recruited into the army of the East India Company rebelled against their British overseers, many Indian families in the region accelerated the purchase of gold in order to secure their future against the risk of future uprisings.[3]
Much of the gold purchased by Indians is done in preparation for weddings, and is viewed as a form of social security for both the bride and her family. This belief is so widespread that many Indian merchants believe that gold is inextricably linked with the Indian marriage system.[4] As a result, Indian jewelry consumes all gold mined in India, as well as a significant amount of imported gold and silver.[5] Indian families will frequently buy gold for their daughters in order to protect them from future hardships, such as the loss of employment or the desertion of a husband.[6] Prior to the large scale entry of Indian women into the workplace, gold jewelry also gave them a measure of economic independence after marriage,[7] as brides typically retain sole ownership of all gold jewelry after a wedding. In ancient times, Hindu marriage laws held that when a man declares bankruptcy, all his possessions could be seized in satisfaction of his debts, but not the gold that his wife brought to the marriage as a dowry.[8] These gold beliefs have stayed consistent within the communities of Indians abroad; overseas Indian families typically purchase similar amounts of gold in preparation for weddings as do their domestic Indian counterparts.[9] Due to these economic considerations, fashion trends have not altered the purchase of gold jewelry by Indian families; there was a small surge of interest in platinum in the 1920s, but this interest was short-lived, and gold has continued to reign as the primary safeguard against tumultuous times.
The rocky performance of the Indian financial markets has also encouraged Indian families to purchase large quantities of gold. Many Indians believe that gold prices will appreciate steadily in value over the course of one person’s lifetime, especially in India, which frequently has the highest gold prices in the world.[10] Rampant inflation, the steady decline of Indian share prices, and weak currency values have made gold a popular investment and contributed to its rising value.[11] In fact, the price of gold in India is frequently interpreted as a method for determining the extent of political and economic anxiety.[12] As a result, ownership of gold allows many Indian families to feel a sense of security in their economic future.[13]
The Spiritual Significance of Gold to Indian Families
For many Indians, the ownership of gold has significant spiritual and religious meaning. As a result, many Indian families are very traditional when it comes to the purchase of gold jewelry; new fashion trends in the design of gold jewelry are not popular, especially for weddings and dowries.[14] Indians traditionally will only use 22 carat gold for their jewelry, which is in contrast to Europe, which usually uses 9 carat or 14 carat gold.[15] Even Indian jewelry stores overseas in Hong Kong, Singapore, Malaysia, Britain, and the United States will only carry 22 carat gold for their expatriate customers.[16] The majority of gold jewelry that these overseas Indian shops sell is designed in India.[17]
One reason for the high carat gold used in Indian jewelry is a spiritual belief in the purity of gold. Many Indians believe gold is a symbol of purity and cleanliness, because it never tarnishes. In fact, even after several years of use, pure gold in any form does not oxidize or corrode or diminish; it can survive intact no matter how long it is hidden away.[18] In some regions of India, gold is believed to purify water when it is passed over.[19] Sanskrit scriptures reference gold jewelry frequently, referring to hara (necklaces), keyura (armlets), kankana (bracelets), earrings (kundala), and girdles (mekhala).[20]
Gold is also a part of many Hindu rites, as it is believed to be a Vedic symbol of immortality, and is viewed as a sacred metal symbol of the warm sun.[21] Silver, in contrast, is believed to represent the cool moon and is not traditionally viewed as a symbol of immortality.[22] Some Indian communities believe that thieves stealing gold are doomed to remain in Hell for as long as the universe exists.[23] Others believe that the purity and cleanliness of gold allows the wearer of gold amulets and jewelry to be protected against disease and evil spirits.[24] Using high carat gold in Indian jewelry pays homage to these spiritual beliefs, whereas gold that is cheaper with less carat value cannot be assumed to have these traits.
The use of 22 carat gold is also encouraged by a belief in its health benefits. Gold is frequently associated with good health, and is believed to have medicinal value.[25] Ayurvedic medicine, which traditionally uses medicine derived from plants and minerals, also makes use of gold in certain treatments.[26] In ancient times, gold leaf and gold ashes, when reduced to a fine dark-brown powder, were used as an aphrodisiac, to increase sexual powers and cure impotence, and as a tonic to augment natural beauty and strength. It was also used to improve the mind and one’s memory.[27] Some Indians still believe that one should pour drinking water into a gold or silver tumbler and let it remain for several minutes before you drink it, so that you can absorb some of the beneficial properties of these metals. While ayurvedic medical treatments that utilize gold are not as common in India today, the association of gold with good health does continue on, thus providing an impetus for the purchase of high carat gold jewelry to Indian families.
Gold also has significant religious Hindu connotations. The goddess Lakshmi, wife of Vishnu, is the goddess of wealth and is typically depicted with significant amounts of gold jewelry on her body.[28] Many gold jewelry designs include representations of Lakshmi, and other Hindu gods, such as the elephant god Ganesha. Designs including cobras are also common, as cobras are supposed to be the legendary guardians of gold treasures.[29] Gold additionally has a significant role in many Hindu ceremonies, such as naming ceremonies, marriages, graha pravesh, and housewarming ceremonies.[30] Many Indian families will also place a small nugget of gold in the foundation of a house, for good fortune and to invoke the blessing of the gods.[31] Most Hindu ceremonies that do not explicitly use gold in the rituals will nevertheless have a symbolic offering of gold.[32]
As many gold jewelry items have religious connotations, most Indians will not wear gold below their hips, as it is disrespectful to have your feet or legs touch a religious symbol.[33] In fact, the only Indians who would wear gold below their waist in ancient times were members of royal families and nobles.[34] Today, the Ursu community of Karnataka also wears anklets and toe rings of gold, although the vast majority of other Indians will only wear silver anklets and toe rings.[35]
While most of the spiritual and religious importance attached to gold has Hindu roots, the Mughals ruling India also attached status to the use of gold in buildings and jewelry. Many Mughal rulers established sumptuary laws limiting the use of gold jewelry to themselves and those that they favored.[36] Permission from a Mughal ruler to wear gold ornaments on your ankles and feet was seen as a symbol of high status, and typically only permitted for royalty and nobles.[37] As Hindu rebellions and Mughal inter-family power struggles increased in the late 18th and early 19th centuries, Mughal patronage of gold jewelry began to decline.[38] However, Hindu patronage of gold jewelry began to increase sharply during this time period, primarily due to the increasing purchase power of the growing Hindu middle class of merchants, bankers, traders, landowners, lawyers, and civil servants.[39] This middle class patronage of gold jewelry continues today, especially as India’s middle class increases its earnings and connections abroad.
In general, due to the financial and economic considerations associated with gold, most urban Indians prefer to buy gold jewelry, especially for important family events like marriages and births. Silver jewelry tends to be popular among rural Indians, as it is cheaper but also lasts for a very long time.[40]
Surprisingly, silver jewelry is steadily becoming more popular among urban Indian women, as Western fashion influences seep in through the Internet and satellite television. Silver jewelry, with the exception of anklets and toe rings, usually was considered provincial or low-caste in fast-paced cities such as New Delhi and Mumbai.[41] However, as the price of gold increases sharply, silver jewelry is becoming more accepted for urban Indian women, especially for work. It is also worth noting that the value of silver has been steadily increasing, making it a more acceptable alternative to those who cannot afford the sky-high prices of gold jewelry for everyday wear. Yet, during religious ceremonies and weddings, most Indian women in the cities will still only wear 22 carat gold jewelry.
[1] Traditional Jewelry of India, by Oppi Untracht; Thames and Hudson Ltd. and Harry N. Abrams, Inc., 1997, page 278.
[2] Untracht, 278.
[3] Untracht, 278
[4] A Golden Treasury: Jewellery From The Indian Subcontinent, by Susan Stronge, Nima Smith, and J.C. Harle, 1988, page 116.
[5] Untracht, 279
[6] Stronge, 116.
[7] Stronge, 116
[8] Stronge, 116.
[9] Stronge, 116
[10] Stronge, 115
[11] Stronge, 115; footnote 4 on A123, B279
[12] Untracht, 279
[13] Untracht, 279
[14] Stronge, 119
[15] Stronge, 117.
[16] See Stronge, 117.
[17] Stronge, 117
[18] Stronge, 120
[19] Untracht, 278
[20] Stronge, 15
[21] Untracht, 278; Heat and Sacrifice in the Vedas, by Uma Marina Vesci, Motilal Banarsidass Publ., Jan 1, 1992, ftnt 91 page 128.
[22] Untracht, 278
[23] Untracht, 278
[24] Untracht, 278
[25] Stronge, 121
[26] Untracht, 278
[27] Untracht, 278
[28] Stronge, 120
[29] Stronge, 121
[30] Stronge, 120
[31] Stronge, 121
[32] Untracht, 278
[33] Stronge, 120
[34] Stronge, 120
[35] Stronge, 120
[36] Untracht, 278
[37] Untracht, 278
[38] Untracht, 278
[39] Untracht, 278
[40] Untracht, 280
[41] Untracht, 280