How to Buy Gold in Dubai
Hi, Sunil here to talk about how to buy gold in Dubai
Several queries from newsletter readers have inspired this section.
So I thought Id take my personal experience, couple it up with my dads short stint experience as a jeweler and Kishs jewelry shopping experience in Dubai and bring you the best of buying gold in Dubai.
You may have heard Dubai referred to as the City of Gold.
You would call it just that after visiting the Dubai gold market, also commonly known as the Dubai gold souk.
The Dubai gold market will offer you the best quality, the most variety as well as the best prices on gold.
Many foreigners make a special trip just to buy gold in Dubai.
It might sound silly, but the price difference just makes it worth it.
So without further adieu, read on to learn how to buy gold in Dubai and save!
When to Go Gold Shopping in Dubai
If you want the best deals, dont go during shopping festivals (more on it below).
If you want variety, go during the shopping festivals. Gold shops are typically open around 10AM and close at 2PM. They then re-open at 5PM and stay open late till 10:30PM. Getting there early morning is the best time to beat the rush.
Where Are the Gold Souks Located?
Deira. Tell any taxi and they should be able to take you. For a more scenic ride to Deira, take the Abra ride to cross the river from the Bur Dubai side to Deira.
Know that you will find everything in gold in Dubai. The choice can be overwhelming and often times gold shoppers in Dubai end of over buying because of the temptation and the discounts.
The Dubai gold market is made up of hundreds of gold vendors. The entire region of the UAE is considered the largest importer of pure gold (as of 2007 at least). You will find all kinds of styles in gold jewelry, Indian, Arabic and Italian to name a few.
Tax on Gold
There is no tax on gold purchase. In addition, vendors do not have to pay the heavy trade taxes and tariffs, thereby passing on their savings to you (the customer).
Negotiating is the Name of the Game
Gold vendors in Dubai know that you will negotiate, so they bake that into the pricing they quote you initially. If you simply agree to their price, I guarantee that you would be overpaying. It is best to negotiate as much as you can on an item you like.
You can also price it out against the hundreds of other shops in the gold market to see who can give you the best price. Trust me, no vendor wants to loose your business. They will do anything to get your sale. Dont believe me? Try saying no thanks and walk out of the store and watch the vendor chase you to give you a much better price.
What Kind of Gold Will You Find?
Anything and everything. Gold bars, gold watches, gold pens, gold clocks, gold wallets, diamond rings, cufflinks, money clips and holders, chains, sets, bangles you name it. You will find yellow gold and white gold (increasing over time). But one thing is for sure, you will rarely find anything lower than a 22 carat concentration. Dubai gold will be some of the softest and the yellow-est gold you will ever see in your life. It is pure as the holly water.
Price depends on the concentration (carat) as well as the weight. These two components determine most jewelry pricing. The price will vary daily, but it should be the same from store to store. Check the gold price for the day before heading out for shopping. Price is measure in Dollars or Dirhams per gram.
See in the West, most jewelry is priced per piece and no breakdown is given to the customer. In Dubai, you can break out the cost of the actual gold versus the cost of the workmanship or design. This way you can truly negotiate.
So for example, you really like a gold necklace and you are quoted a price of $150. You find out the weight and concentration of gold and you do the math. You come to a calculation that the gold is worth $100. That means you are being charged $50 for the labor (the make of the necklace). That is where you can haggle and bring the price down.
Is Fake Gold a Concern?
This is of most importance when learning how to buy gold. Fake gold is not a concern as of of the time this discussion was written. I doubt it will ever be a concern. Dubai has a very high reputation to maintain. The Government has very strict laws on unfair business practices, including selling duplicates and fakes. There is a lot of monitoring and oversight that goes on, so you can be 99.9% sure that you are getting a good product. Nothing in life is 100%, not even life itself.
When to Find the Best Designs?
If price is not a concern and you want the best and newest designs, I recommend you go during the Dubai Shopping Festival or the Dubai Summer Festival. This is when foreigners from all over the world come to Dubai for shopping. Vendors release their new designs at this time as well. Be prepared to pay a premium however. Best bargains on Dubai gold are found when shopping during off-season.
Can You Sell Your Old Gold?
Some vendors will buy your old gold while others may not. Just be prepared to answer a lot of questions. Vendors are very careful in buying gold. They need to ensure they are getting the real thing just like you want to ensure you get real gold when you buy. Trust me; they know how to buy gold. I recommend having old gold melted and having something made out of it instead of selling it. You can always try.
Can You Get it Custom Made?
Of course. These vendors are good. They are professionals. Just bring some pictures of what you want, or instruct them on what to do and how to do it. Its best if you contact them ahead of time, leaving enough time to inspect the piece and having modifications made to it.
It is not uncommon for foreigners to bring pictures of designer jewelry and get pieces made just like them.
How to Buy Gold in Dubai for the Best Price?
There are 2 ingredients to this equation. 1) carry cash and 2) negotiate hard. With cash in hand, vendors know that you are ready, willing and most importantly able to spend. They will treat you will all seriousness and make sure they get your sale.
Credit cards are accepted everywhere, but are you aware of anything that speaks louder than cash? The good thing is that it is safe to carry cash in Dubai. Many often do and come out with the best deals. Whoever said Cash is King was a very smart man, or woman.
Where to Buy Gold in Dubai?
My personal favorite is Alukkas. They have always stood out from the crowd to me. They have a huge selection of Indian jewelry and are located throughout the UAE. They are big, reputable and have often given me some of the best deals when shopping for gold in Dubai. Their representatives are also some of the best to ask questions about how to buy gold.
But quite honestly, buy from anywhere you find the best deal on a piece you like the best. You will definitely get a good deal as long as you buy gold in Dubai. But shopping for gold is not an everyday occurrence. It is a luxurious experience that you want to take time with and enjoy every bit of.
In any case, I hope this section has helped a bit on how to buy gold in Dubai, so visit the Dubai gold souk and come back to let us know about your experience.