Shares of jewellery makers in India took a hit on Monday after the Prime Minister Narendra Modi appealed the citizens to avoid buying unnecessary gold for the next one year. PM Modi also requested to conserve the fuel to save foreign reserves as gold and crude contribute the most to India's import bill.

Follow PM Modi's appeal, shares of Sky Gold and Diamonds (Sky Gold Ltd) led the laggards as stock plunged 12.25 per cent to Rs 475 on Monday, with its market capitalization barely holding Rs 7,250 crore market. The stock is down nearly 13 per cent from its 52-week high at Rs 549, hit on Friday, May 08.

Senco Gold Ltd cracked as much as 11 per cent to Rs 325.25 on Monday, with its market capitalization slipping below Rs 5,500 crore mark. The stock had settled at Rs 365.45 on Friday. Similarly, Kalyan Jewellers India Ltd was down 10 per cent to Rs 382.20 on Monday with its valuations slipping below 40,000 crore.

Tata Group's gold major Titan Company Ltd, backed by Rekha Rakesh Jhunjhunwala, was down 8 per cent to Rs 4,151.40 on Monday, with its valuations slipping below Rs 4.7 lakh crore mark. The stock is down 10 per cent from its all time high at Rs 4,601.10, hit on Friday itself, post Q4 earnings.

Among other smaller players, PN Gadgil Jewellers, Manoj Vaibhav Gems N Jewellers, Shringar House of Mangalsutra, Tribhovandas Bhimji Zaveri, RBZ Jewellers, Radhika Jeweltech and BlueStone Jewellery and Lifestyle were down 6-8 per cent each in the early trade on Monday. 

Prime Minister Narendra Modi is urging Indians to postpone gold purchases, carries a strong sense of déjà vu. In 2013, then Finance Minister P Chidambaram persuaded the government to impose restrictions on gold imports to curb the widening current account deficit, said Systematix Institutional Equities.

"At the time, India faced intense currency pressure amid a resurgence in global crude prices to $100–110 per barrel and was labelled one of the 'Fragile Five' economies. The government had also launched an NRI deposit scheme that successfully mobilised around $25 billion," it added.