Merchants: Boom of business and event tourism supports gold sales

Gold prices continued to decline for the fourth week in a row, recording at the end of the week a decline in their indices, and rates ranging between 50 fils and one dirham for various karats, compared to their prices at the end of last week, according to the price indices announced in Dubai and Sharjah, bringing the total decline in the price of a gram of gold to 15.25 dirhams in four weeks.

Officials of outlets for gold and jewelry trade pointed out to «Emirates Today» that the sales of gold jewelry have witnessed demand in varying proportions recently, supported by the turnout of tourists and visitors for purposes related to business activities and events such as exhibitions and conferences, pointing out that those sales accounted for the largest shares of sales recently, against sales at lower rates for resident dealers, explaining that the continuation of gold prices to decline, will continue to support the gradual improvement of sales.

Adita Singh, Sales Manager at Tanchic Jewellery, said: "Business tourism and events such as conferences and exhibitions have played a major role in supporting the demand for sales of new gold jewelry, which is finally evident in the growth in demand resulting from the popularity of large conferences and exhibitions in local markets, with visitors participating in these events going to buy gifts of gold jewelry for their families before traveling, as part of business tourism, which has multiple positive repercussions on the gold markets, and has become a the largest shares of sales."

Mangesh Palikra, sales officer at Reggie Jewellery, said: "Sales of tourists and visitors for business, exhibitions and conferences activities have recently accounted for the largest shares of sales, as opposed to sales to resident customers, due to the current high popularity of event tourism activities."

He added that «the continuation of gold prices in decline has positive repercussions stimulating the purchase, and is expected to support the gradual improvement in sales in greater proportions during the coming period». The manager of the «Al-Ayyam Jewelry» store, Galish Saqr, pointed out that «the period of great activity of events such as conferences and exhibitions, in addition to business tourism, which is linked to visits to companies to conclude various deals, including those related to the import of goods from local markets, are among the factors that supported the activity of demand for sales of gold jewelry during the recent period, in addition to the continuation of the prices of the yellow metal in decline for the fourth week in a row».

In addition, the price of a gram of 24-carat gold reached 220 dirhams, down one dirham, compared to its prices at the end of last week. The price of a 22-carat gram was 203.75 dirhams, down 75 fils. The price of a 21-carat gram reached 197.25 dirhams, down 50 fils.

The price of an 18-carat gram reached 169 dirhams, down 50 fils.