• Monday, June 24, 2024

Asia

Why Indians are making beeline for Dubai to buy gold this week

Many jewellers across the UAE offer special discounts, zero-making charges and gifts to shoppers buying gold, diamond and precious metal jewellery during the festival of Akshaya Tritiya.

Indian shoppers look at the selection of gold chains, at a shop in Dubai, UAE. (Photo by RABIH MOGHRABI/AFP via Getty Images)

By: indiaweekly.biz Staff

EVERY year, several Indian tourists plan to visit to Dubai for Akshaya Tritiya, an auspicious occasion for purchasing gold — a popular religious and cultural tradition in their country.

This year is no exception either as many Indian tourists are queuing up to go to the desert city ahead of the spring festival which falls on May 10.

Akshaya Tritiya is observed on the third day of Shukla Paksha in the month of Vaishakha and purchasing gold on this day is believed to bring luck and prosperity.

“Yes. Some people do travel to Dubai from India for gold shopping, especially during festivals like Akshaya Tritiya, as Dubai is known for its gold markets and competitive prices,” Anuraag Sinha, managing director of Dubai’s Liali Jewellery, told Khaleej Times.

Read: Gold demand strongest since 2016: World Gold Council

He said the city presents itself as an attractive destination for gold buyers from countries such as India, thanks to a wide variety of gold jewellery, coins and bars that it offers.

The local jewellery traders also come up with strategies to make the most of this period. Khaleej Times reported earlier that many of them have offered special discounts, zero-making charges and also gifts to those who buy gold, diamond and precious metal jewellery during this festive season.

Praful Dhakan, managing director of PVD Gold, told the publication that occasions such as Akshaya Tritiya bring people in pursuit of good luck.

Read: Emirati artisans fight to safeguard embroidery tradition called Al Talli

Emphasising that Dubai’s gold market is known for its variety and competitive prices, Dhakan said it has made the city even more of a promising choice for people to are planning to buy gold.

According to Ramesh Vora, managing director of Bafleh Jewellers, Indian tourists who are visiting Dubai are aware of promotions and offers that are available during Akshaya Tritiya and make their plans accordingly.

Recently, World Gold Council said demand for gold jewellery went down by 10 per cent in the first quarter of the current year due to high prices of commodities.

In India, demand for jewellery has remained weak so far in Q2, reflecting continued record highs in the price of the yellow metal.

“Stock-building in preparation for Akshaya Tritiya and the forthcoming wedding season are reportedly muted in India,” it said.

According to Shamlal Ahamed, managing director for international operations at Malabar Gold and Diamonds, low prices of compared to India and the availability of a large range of international designs owing to the United Arab Emirates’ prominence in the global jewellery trade makes it a popular destination for Indian tourists planning to buy gold, the Khaleej Times report added.

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