Wednesday, Jul 19, 2006
Staff Report
Dubai: Tourists account for more than half the gold and jewellery sales in Dubai, according to an industry survey conducted by AC Nielsen.
The survey, commissioned jointly by the Dubai Gold and Jewellery Group, Dubai Multi Commodities Centre (DMCC) and the World Gold Council, showed that 52 per cent of all sales are made to tourists, nine points ahead of Dubai residents who account for 43 per cent.
The industry survey, released yesterday also established the primacy of gold jewellery in the local market. Gold jewellery sales account for 45 per cent of annual retail turnover, followed by diamond jewellery with 35 per cent.
Twenty-two karat (kt) gold is the largest selling variant, capturing 44 per cent of the market, followed by 18kt (42 per cent), 21 kt (10 per cent) and 24 kt (4 per cent).
The gold and jewellery market seems to be benefiting tremendously from the Dubai Shopping Festival, Dubai Summer Surprises and Ramadan initiatives. Retailers said the three festivals accounted for nearly two-thirds of annual sales.
"These findings reflect the latest trends in Dubai's gold and jewellery trade, and will assist all market players in strategising their business opportunities," said Chetan Karani, Deputy Managing Director, Dubai Gold and Jewellery Group.
Non-branded jewellery emerged a clear winner over its branded rivals, with the former accounting for 84 per cent of all sales. Locally manufactured jewellery also trails significantly behind its imported competition, survey findings show, accounting for 42 per cent of sales.
"DMCC's commodity specific infrastructure facilities and extensive support for the entire value chain of the gold and jewellery industry from mining to manufacturing, has enabled the extensive growth of the local jewellery trade," said Colin Griffith, Executive Director for gold and precious metals at DMCC, said.
Gulf News 2006. All rights reserved.
