Over 900 jewellery shops in Krishnagiri and Dharmapuri districts downed shutters on Saturday in protest against the Budget proposals.
A three-day strike call was given by the All India Gems and Jewellery Trade Federation.
R. Vijay Anand, secretary, Krishnagiri District Jewellers Assocition, told The Hindu that over 470 small, medium and large shops downed shutters.
The strike would result in the jewellers losing around Rs. 3 crore, he said.
About 437 small and big jewellery shops in Dharmapuri district are participating in the strike.
More than 1,000 jewellery stores in Erode district remained closed on Saturday.
The sale of gold jewellery was already on the decline due to high prices. Jewellers urged the government to roll back the excise duty on jewellery immediately.
Otherwise, the jewellery business in the country would be badly affected.