Gold Purchases Surge in Dubai Ahead of Dhanteras Festival
Dubai shoppers are securing gold prices early for Dhanteras amid volatile rates and festive promotions.
As the Dhanteras festival approaches on November 6, gold buyers in Dubai are increasingly locking in prices ahead of the celebration, according to local jewellers. This trend is driven by fluctuating gold rates, prompting consumers to plan their purchases earlier than usual.
On Wednesday morning, 24K and 22K gold prices in the UAE were recorded at Dh484 and Dh448.25 per gram, respectively. The 24K rate had recently dipped to Dh467 per gram over the weekend, motivating buyers to secure current prices offered by leading jewellery retailers before the festival.
Chirag Vora, managing director and CEO of Bafleh Jewellers, explained that customers are becoming more aware of timing their purchases. He noted that price locking provides buyers with greater assurance, allowing them to plan without concern over sudden price increases. This approach is particularly favored by those making significant purchases, such as wedding jewellery and festive gifts.
Anil Dhanak, managing director of Kanz Jewels, highlighted that price protection plans are gaining popularity, especially among Indian expatriates for whom Dhanteras is an auspicious occasion to buy gold jewellery.
In addition to early price locking, jewellers across Dubai and the UAE have introduced various festive offers to enhance the shopping experience. These include free cash vouchers on diamond and precious gemstone jewellery, discounts on selected gold and diamond collections, and other exclusive benefits.
The Dubai Festivals and Retail Establishment (DFRE), under the Dubai Department of Economy and Tourism (DET), is organizing the Diwali Gold Rush promotion, which runs until November 12 at over 170 participating jewellery stores. Customers spending Dh1,500 or more receive entries into a raffle where five winners will each receive 100 grams of gold, and one grand prize winner will receive 500 grams.
Participating jewellers include Arakkal Gold & Diamonds, Kanz Jewels, Bafleh Jewellery, Jawhara, La Marquise Diamonds & Watches, Lifestyle Fine Jewelry, Tajvi Gold & Diamonds, Thangals, Meena Jewellers, Kundan Kala Jewellery, and Malabar Gold & Diamonds. Some retailers are also offering discounts, gifts with purchases, and special making-charge deals.
Shamlal Ahamed, managing director of international operations at Malabar Gold and Diamonds, emphasized the popularity of price lock-in and advance payment schemes. He described a plan allowing customers to lock in current gold prices until November 8 by paying 25% upfront, providing flexibility and peace of mind. He added that many customers have taken advantage of this option to secure their Dhanteras purchases at relatively lower prices.
Beyond gold rates, jewellers report that buyers are considering additional factors such as making charges, design variety, purity, and the overall shopping experience. Vora stressed that transparent pricing is essential for customer confidence, while Dhanak advised shoppers to evaluate craftsmanship, purity, and making charges to assess overall value.
Both executives anticipate increased buying activity as Dhanteras nears. Vora also noted the growing participation of younger consumers alongside traditional buyers, and Dhanak pointed to Dubai’s well-regulated market and transparent pricing as advantages for purchasers.