UAE Gold Jewellery Shoppers Shift To Exchanges, Upgrades Amid Regional Tensions

(MENAFN- Khaleej Times)

Jewellers in the UAE say that buyers have not moved away from gold due to the ongoing regional military conflict involving the US, Israel and Iran

By: Waheed Abbas

UAE jewellers believe shoppers have not moved away from gold but have gravitated towards lightweight jewellery and are focusing more on exchanging and upgrading their ornaments during uncertain times.

Amid softening sales due to the ongoing regional military conflict, jewellers said they were leveraging flexible payment options and rate protection schemes to woo customers.

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“Consumers haven’t stepped away from gold, but they’ve adapted, gravitating toward lighter minimalist designs and exchange and upgrade programmes rather than fresh purchases,” said Ramesh Vora, founder of Bafleh Jewellers.

“To support customers during this period, we offer flexible payment options, rate protection schemes, and curated collections at every price point. By harmonising heritage craftsmanship with investment-grade offerings, we are not merely weathering this cycle-we are emerging more diversified and sophisticated. Dubai’s fundamentals remain exceptional, and we are preparing for resurgence,” he added.

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Gold prices have been trading just above Dh600 per gram since the war broke out on February 28, 2026. Gold closed at $5,020 per ounce globally over the weekend, down 1.91 per cent. In the UAE, 24K and 22K gold prices ended at Dh604.75 and Dh460 per gram, respectively.

“We are leveraging the current soft sales cycle as a window to drive operational improvements and recalibrate our readiness to maximise our agility and impact as new market opportunities emerge,” said Shamlal Ahamed, managing director for international operations, Malabar Gold and Diamonds.

John Paul Alukkas, CEO of Joyalukkas Jewellery, said they responded by focusing on deepening connections with local residents.

“The emphasis has shifted toward lightweight, wearable designs that offer both beauty and value. Digital engagement has become more personalised, and our in-store experience now prioritises thoughtful, consultative conversations over transactional selling. Our long-term confidence in this market and the region remains absolutely strong and intact,” he said.

Focus not on ticket sizes

Aditya Singh, head of international jewellery business at Titan Company, said during this period, the focus has been less on transactional activity and more on supporting customers and ensuring their wellbeing.

“The priority at this time is not centred on ticket sizes or sales performance, but rather on maintaining strong relationships with customers and ensuring they feel supported. Where possible, assistance is being extended to help visitors make arrangements to return to their respective countries safely, reflecting a broader commitment to customer care during a challenging period,” he added.

Karim F Merchant, group CEO and managing director of Pure Gold Group, sees the industry’s response anchored in confidence and adaptability.

“Jewellers are focusing on smart product mixes, value‐driven offerings, and deeper engagement with the resident market. The strength of the system, ease of doing business, and clear economic direction have given retailers the confidence to continue investing, innovating, and planning for long‐term growth despite external challenges,” added Merchant.

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