Cash is the preferred mode of payment for over 95 per cent of retail transactions in the domestic bullion market, a market survey said.
"The domestic bullion trade, mainly gold purchases, are generally carried out on the basis of faith/trust. About 95-96 per cent of retail transactions in the domestic bullion trade takes place on a cash basis," Marketing Consultant Neeraj Khandelwal said in Opinion and Market Research Survey on Bullion Trade here.
Khandelwal said the practice of cash sales in bullion trade in the country will continue for the next few decades as payment through credit cards and bank cheques are not so popular in the country.
The survey further said weddings, engagements, birthdays and child-birth are among the main occasions for buying gold and silver in the country.
Large-scale buying is carried out in rural areas and buyers, include farmers and fisherman who prefer cash, according to the survey.
