Mumbai, Aug. 24 -- Jewellery retailers are increasingly offering customers cash for their old gold as high prices and volatile demand put pressure on sales and margins ahead of the festive season. Large listed jewellers, including Kalyan Jewellers India Ltd and Titan Co., have introduced or expanded cash-for-gold plans since June, taking a service that was traditionally associated with smaller and regional jewellers into the organised market. Kerala-based Joyalukas, with over 200 stores, also offers cash for gold. Under these schemes, customers can trade in old jewellery for cash. This differs from conventional exchange offers, under which old gold is exchanged for new jewellery. The move comes after a difficult period for fresh-gold demand. On 10 May, Prime Minister Narendra Modi urged Indians to postpone gold purchases for a year to help conserve foreign exchange amid the West Asia conflict. Three days later, the government raised the effective import duty on gold to 15% from 6%. This was followed by adhik maas, an 'inauspicious' period for gold buys from 17 May to 15 June. "The cash for gold is really catching up, and it should ideally negate the margin dilution, which happens due to the exchange," Kalyan Jewellers' executive director Ramesh Kalyanaraman said during an analyst call on 4 August. The share of cash-for-gold to Kalyan's business rose to double digits from single digits in the June quarter, Kalyanaraman said. The firm expects the business to be margin-accretive because it buys the recycled gold at a discount to the prevailing spot price. Kalyan has also reduced offers on its exchange schemes and shifted focus on cash-for-gold. The move comes as jewellers grapple with elevated gold prices, which have weighed on jewellery volumes even as the value of sales remains supported by higher prices. Kalyan's India business saw the share of recycled gold rise to 46% in the June quarter from 31% in the March quarter. Not all retailers are seeing the same response. Titan, which made its cash-for-gold option available across stores from June, said customer traction has so far been limited....