Local jewellers are likely to revise downward gold prices locally after the international market of the precious metal softened.
They hinted at reducing the local price of the precious metal by Tk 2,000-Tk 2,500 per bhori within a few days.
The price will be reduced in two phases-one from tomorrow (Thursday) and the second cut in the next week, a leader of Bangladesh Jewellers Samity (BAJUS) told the FE Tuesday.
According to global media reports, gold price plunged more than 4.0 per cent to five-year lows on Monday in the international market including the USA and China mainly following relentless gains of US dollar and its lower demand.
"We've internally decided to reduce the gold price in line with the global price trend. We will have a formal meeting with our industry colleagues tomorrow (Wednesday) to finalise the reduced price chart," said Enamul Haque Khan, general secretary of the association.
"The recent fall in international gold price will not affect the local market price as much as it declined globally," Mr Khan said without elaborating.
He also said that businesses moved to revise its price down, though the government would not do so.
Anwar Hossain, president of Bangladesh Jewellery Manufacturers and Exporters Association, said, "No country alone can control its gold price. It is affected by the international market."
"…hence, we will have to rationalise our local market price (of gold)," Mr Hossain said.
He, however, said that the domestic market of the precious metal is not well controlled by the authorities. "Our gold market is dominated mainly by informal import as the metal is not brought through the formal channel," he said.
Talking to the FE, Faruk Ahmed, a jeweller at Baitul Mukarram market in the city, said, "After the Eid-ul-Fitr, we will re-open our shop tomorrow (Wednesday) amid the fall in global gold price."
"…so, we will have no way but lowering price of the gold, which was earlier purchased at comparatively high prices," Mr Ahmed said, adding that it will definitely hit businesses hard.
Another business leader said that their sale in gold ornaments in the Eid-ul-Fitr market was only 20 per cent of their expected turnover due to a rumor of possible price fall among the consumers.
"Coupled with the lower sales, the recent drastic price fall in gold will serve as a blow to the industry," he said.
He also said due to the recent downward changes in gold price, a section of dishonest businessmen might adulterate the metal.
Currently, jewellers are selling each gram of gold (22 carat) at Tk 3,817, each gram of 21 carat at Tk 3,637, each gram of 18 carat at Tk 3,067, each gram of sanaton (traditional) at Tk 2,065, according to the BAJUS data.
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