Stores compete with offers on “workmanship” and fees to stimulate sales of gold jewelry and bullion

Gold prices rose for the second week in a row, reaching record levels at the end of last week, and the increase ranged between four and nine dirhams per gram of various karats, compared to its prices at the end of the previous week, according to price indicators announced in Dubai and Sharjah, bringing the total increase in prices of the yellow metal to 16 dirhams per gram in two weeks.

Consumers told Emirates Today that a number of gold and jewelry stores have resorted to providing offers and facilities on “workmanship” prices, with the aim of stimulating sales, whether for jewelry or bullion, especially when purchasing large weights.

In turn, officials of gold and jewelry trading outlets reported that the continued rise in prices of the yellow metal contributed to increased competitiveness in attracting customers, through facilitations from merchants to consumers inside stores on workmanship and fees, pointing out that the demand for bullion currently exceeds artifacts in large shares.

In addition, the price of a gram of 24-carat gold reached 522.75 dirhams, an increase of seven dirhams, compared to its prices at the end of the previous week. While the price of a 22-carat gram was 484 dirhams, an increase of 6.5 dirhams. The price of a 21-carat gram reached 464.25 dirhams, an increase of 6.25 dirhams. The price of an 18-carat gram reached 397.75 dirhams, an increase of 5.5 dirhams, and the price of a 14-carat gram reached 310.25 dirhams, an increase of four dirhams.

The consumer, Amer Saeed, said, “A number of gold and jewelry stores provided facilities and offers on manufacturing fees to attract customers during the recent period, which included selling small pieces with specific manufacturing fees ranging between 20 and 50 dirhams only, with a number of stores expanding in offering offers to sell jewelry with low or no workmanship in 22 and 21 carats.”

The consumer, Muhammad Hassan, added, “Some stores are currently providing offers and facilities on some gold and jewelry products, especially on large weights, including an offer by some stores to sell bullion without any fees, only for weights that exceed 20 grams per piece.”

The consumer, Karam Samer, pointed out that “a number of stores offer discounts on workmanship of up to 50% on jewelry, while some stores offer offers to sell bullion of large weights without fees, and other stores offer discounts on workmanship prices ranging between 20 and 30%, and other handicrafts without workmanship.”

For his part, the manager of the “Jawharat Baghdad Gold and Jewelry Trading” store, Intisar Ward, said, “The successive price rises of the yellow metal have contributed significantly to increasing competition between stores to stimulate sales in various ways, including offers of facilities that are often unannounced and are presented to consumers inside stores to stimulate sales.”

The sales manager at the “Al Sarraf Jewelry” store, Abdullah Muhammad Ali, explained that “the markets are currently witnessing high levels of competition in light of the increases recorded by the yellow metal, which has increased the offers offered by some stores on jewelry and jewelry,” pointing out that “the markets are currently witnessing a remarkable growth in demand for bullion at rates exceeding the jewelry items in large shares.”

Dilip Patni, the sales manager at Al Fanan Gold and Jewelery Trading, said, “With the increase in competitiveness in the gold and jewelry markets, some merchants are resorting to offering facilities related to manufacturing fees to increase customer attraction,” pointing out that “most of these facilities are not through announced offers, but rather are presented to consumers inside stores, especially when purchasing large quantities and weights, and these facilities are discretionary.”

He added, “The current highest demand trends in the country’s markets are focused on purchasing bullion and currencies, compared to lower demand rates for gold jewelry and jewelry, especially after the record increases recorded by gold during the recent period, which reached historical record levels for the yellow metal.”

. The demand for bullion currently exceeds the coins by large shares.