Doha - The city's traditional gold souq has lost its glitter with little scope for expansion or renovation of its decades-old premises.
Juxtaposed between the Karwa bus terminal and the main souq area, the sole gold market in the city has become a pale shadow its glorious past.
Nearly 100 shops are still operating in the souq, but without proper facilities and security arrangements, say the traders.
"There are no street lights in the area and this discourages families from visiting the souq in the night. Security is also an issue and some of the shopkeepers have hired guards," said a veteran trader.
Even after the arrival of several new, trendy jewellery outlets across the city, this traditional souq remains a major shopping hub, particularly for nationals. It showcases a wide collection of gold, silver, diamonds and ornate jewellery. A few workshops that make ornaments also operate from this area.
As the traditional souqs in the city are undergoing major renovations, there is talk among the traders that there would be a new spot for jewellers in the new city plan.
They feel that in the absence of an exclusive and sophisticated gold market in the city many customers have been lured to markets in neighbouring countries.
"The high prices and limited selections have made Doha less attractive for customers. Many nationals prefer to travel to Dubai or Saudi Arabia to buy jewellery for marriage and other special occasions," said another trader.
"Around 99 percent of the gold sold in Qatar is imported from other countries. The high import duty is a major factor the makes the ornaments more costly. The prices will be higher by at QR2 or QR3 per gram in general, compared to other leading markets in the region," he added.
Most traders said the record hike in gold prices in recent months has dealt yet another blow to the market. The prices had started to drop a couple of weeks ago only to see another hike as a fall-out of the international stock market crises. Jewelleries across the city have reported a sudden drop in sales following the hike.
© Bahrain Tribune 2008
