Titan jewelry growth seen slowing in FY27 as duty hike and gold prices bite

Titan Company Ltd. (NSE: TITAN), one of Indias largest jewelers, is poised for a marked slowdown in its core jewelry business in fiscal 2027 as higher import duties on gold and silver and elevated bullion prices weigh on consumer demand.

Indian jewelry stocks have come under pressure after the Indian government recently raised import duties on gold and silver to 15% from 6%. The government’s move is aimed at curbing gold imports to protect foreign exchange reserves and narrow the current account deficit, at a time when India’s import bill has been swelled by high crude oil prices and broader geopolitical tensions that have weakened the rupee and increased external-sector pressures.

For Titan, this move is expected to lift input costs, squeeze retail margins, and dampen demand. Jewelry accounts for close to 90% of Titan’s revenue, anchored by its flagship Tanishq (India) Ltd. chain and fast-growing CaratLane Trading Private Ltd. brand.

Against this backdrop, Visible Alpha consensus estimates show jewelry revenue growth slowing sharply to 2% year-on-year in fiscal 2027, generating about INR 813 billion. That compares with a 48% surge in fiscal year 2026, when soaring gold prices and strong discretionary demand drove outsized sales gains.

While Titan’s watches and eyewear divisions are expected to continue posting double-digit growth, the moderation in jewelry is set to weigh on the wider group. Total revenue growth is forecast to ease to about 3% in fiscal 2027, reaching INR 904 billion.

 This article was published by Visible Alpha, part of S&P Global Market Intelligence and not by S&P Global Ratings, which is a separately managed division of S&P Global.