Boom in artificial jewellery as gold prices rise by Rs770 in Pakistan
Monday, 31 May 2010
KARACHI, May 30 (APP): : Gold prices increased by around Rs770 per 10 grams over the week as international bullion prices continued to fluctuate in the wake of economic crisis in Europe.
The precious yellow metal was valued at Rs32,142 per 10 grams Monday. It declined to Rs31,990 on Thursday as international markets also eased. However, a fresh rise in the world market on Friday to $1,215 an ounce steered the local market, pushing up the precious metal's price by Rs924 per 10 grams.
Later, gold prices remained stable as the trading week closed on Saturday. However, it remained at its peak of Rs32,914 per 10 grams and Rs38,400 per tola (11.6 grams), in sync with the international market.
As prices continue to fluctuate, gold dealers and designers are increasingly moving towards artificial jewellery. According to the President of Small Traders Association of Artificial Jewellery, Saba Saleem, almost 90 per cent of the jewellery makers have either switched completely to artificial jewelry or have started a secondary business.
President of All Sindh Jewellers Association, Haroon Rashid Chand, said that the precious metal had lost its charm both among consumers and investors. He said that after remaining under-cost for some time, gold had rallied sharply only to keep up with foreign market prices. "Local investors have moved on to other investment options such as stocks and savings certificates," he added.
Meanwhile: : In view of enormous rise in gold prices, artificial jewellery markets are witnessing a boom.
Artificial jewellery is becoming more attractive for women as it is inexpensive with variety of designs and colours. A significant drop in the sales has been observed in the yellow metal over the past few years.
A shopkeeper in Gulf Market told, "The core factor behind the rise of artificial jewellery is reduction in the purchasing-power of the customers who cannot afford to buy gold."
Crafting of artificial jewellery has become an industry as thousands of people are earning their livelihood from this sector.
Increase in the demand for artificial jewellery has also resulted in the rise in its prices. According to traders, artificial sets are even being bought for wedding purposes. Heavy bridal sets are very much in demand.
Given the rise in demand, artificial sets have completely taken over the markets. Available in all sizes and designs, they are the best option for cheap weddings, customers said. "They are much cheaper, and we can get any design on order," a customer said. Nazia, shopping for her wedding scheduled in December said that owing to the high price of gold, she would buy an artificial set for her marriage and a small necklace or locket set of gold for her dowry.
A normal artificial set can be made of silver, 18 carat gold or of brass, copper, 2 per cent silver, semi-precious and artificial stones. One heavy bridal set roughly costs Rs 20,000-35,000 on average, said Salman, a gold dealer at Gulf Market.
Besides, there are varieties even in artificial jewellery. Those sets that are heavy are cheaper while those that are lighter in weight are expensive. Usually imported sets are more expensive than local ones.
The precious yellow metal was valued at Rs32,142 per 10 grams Monday. It declined to Rs31,990 on Thursday as international markets also eased. However, a fresh rise in the world market on Friday to $1,215 an ounce steered the local market, pushing up the precious metal's price by Rs924 per 10 grams.
Later, gold prices remained stable as the trading week closed on Saturday. However, it remained at its peak of Rs32,914 per 10 grams and Rs38,400 per tola (11.6 grams), in sync with the international market.
As prices continue to fluctuate, gold dealers and designers are increasingly moving towards artificial jewellery. According to the President of Small Traders Association of Artificial Jewellery, Saba Saleem, almost 90 per cent of the jewellery makers have either switched completely to artificial jewelry or have started a secondary business.
President of All Sindh Jewellers Association, Haroon Rashid Chand, said that the precious metal had lost its charm both among consumers and investors. He said that after remaining under-cost for some time, gold had rallied sharply only to keep up with foreign market prices. "Local investors have moved on to other investment options such as stocks and savings certificates," he added.
Meanwhile: : In view of enormous rise in gold prices, artificial jewellery markets are witnessing a boom.
Artificial jewellery is becoming more attractive for women as it is inexpensive with variety of designs and colours. A significant drop in the sales has been observed in the yellow metal over the past few years.
A shopkeeper in Gulf Market told, "The core factor behind the rise of artificial jewellery is reduction in the purchasing-power of the customers who cannot afford to buy gold."
Crafting of artificial jewellery has become an industry as thousands of people are earning their livelihood from this sector.
Increase in the demand for artificial jewellery has also resulted in the rise in its prices. According to traders, artificial sets are even being bought for wedding purposes. Heavy bridal sets are very much in demand.
Given the rise in demand, artificial sets have completely taken over the markets. Available in all sizes and designs, they are the best option for cheap weddings, customers said. "They are much cheaper, and we can get any design on order," a customer said. Nazia, shopping for her wedding scheduled in December said that owing to the high price of gold, she would buy an artificial set for her marriage and a small necklace or locket set of gold for her dowry.
A normal artificial set can be made of silver, 18 carat gold or of brass, copper, 2 per cent silver, semi-precious and artificial stones. One heavy bridal set roughly costs Rs 20,000-35,000 on average, said Salman, a gold dealer at Gulf Market.
Besides, there are varieties even in artificial jewellery. Those sets that are heavy are cheaper while those that are lighter in weight are expensive. Usually imported sets are more expensive than local ones.