Jewellery stocks shine as traders call off strike

NEW DELHI: Shares of jewellery companies extended their rally from Monday, surging as much as 8 per cent in trade after jewellery traders lifted a shutdown after a 43-day strike that they had staged to protest the government’s imposition of 1 per cent excise duty on jewellery purchases.

Shares of PC Jewellers ended with gains of 3.57 per cent, while Gitanjali Gems rose 5.64 per cent, Tara Jewels 3.30 per cent, Shree Ganesh Jewellers 8.09 per cent.

"Jewellers are opening shops after the government assured that it will simplify implementation of excise duty," Bachhraj Bamalwa, director at All India Gems and Jewellery Trade Federation was quoted by Reuters.

"More than half of jewellery shops are now open."

The strike was called off after assurances from the excise department that it would not "harass" jewellers.