Dubai Jewellery Billionaires Face New Challenges Amid Market Slowdown

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Dubai Jewellery News: Indian Entrepreneurs Shaped Dubai’s Glittering Gold Landscape

Dubai has long been the global destination where fortunes are made in gold. For decades, Indian entrepreneurs have turned the city into a hub of dazzling jewelry empires, transforming the once-fragmented gold trade into highly organized and vertically integrated businesses. They built their reputations from the famed Gold Souk to luxury malls, cementing a cultural bridge between India and the Gulf through the love of bullion. This Dubai Jewellery News report shows how these fortunes, once booming, are now meeting new pressures as the global gold market adjusts.

Joylukkas Group is one of the three key jewelry retailers in the Middle-East and Dubai
Image Credit: Joylukkas

The combined wealth of key Indian families running giants like Joyalukkas India Ltd., Kalyan Jewellers India Ltd., and Malabar Gold & Diamonds has reached US$10.2 billion, according to the market sources. Their dominance is a direct result of deep cultural ties and an ever-growing South Asian diaspora in the United Arab Emirates. But while their glittering success once seemed unstoppable, new economic realities are beginning to dim the shine.

The Golden Era Meets New Roadblocks

Dubai has long benefited from the influx of Indian buyers who considered it the ultimate shopping haven for gold jewelry. With over 7.2 million Indian nationals visiting in 2023 and more than 3.5 million already residing in the UAE, the demand for gold and jewelry had been consistently robust. However, recent shifts in India’s gold import policy have shaken this balance.

By cutting import duties, India reduced the price gap between local and foreign purchases. That move directly undercut the UAE’s advantage and dampened cross-border buying. The World Gold Council reported that jewelry demand in the UAE fell 16% in the second quarter of the year compared to the previous one.

Adding to the challenge, record-high global gold prices and weaker tourist flows—particularly from India—have further strained the market.

Kalyan Jewellers is the second largest jewelry retailer in Dubai
Image Credit: Kalyan Jewellers

Fortunes Built on Legacy and Scale

Despite the turbulence, these billionaire families continue to hold an iron grip on the region’s gold market.

Joyalukkas Group stands at the top with $4.7 billion in wealth. Founded by Joy Alukkas, the brand grew from a modest Kerala-based store in 1986 to a major international chain with 51 outlets across the Middle East, including 28 in the UAE.

Kalyan Jewellers is valued at $2.8 billion and runs 36 stores across the Gulf. The brand has steadily expanded since entering the UAE in 2013, bringing in $369 million in Middle Eastern revenue last year alone.

Malabar Gold & Diamonds, with $2.7 billion in value, runs 68 outlets in the UAE and dozens more in neighboring Gulf states. Its founder, M.P. Ahammed, rose from spice trading to creating one of the most recognized jewelry brands in the Arab world.

Each of these groups operates not just retail outlets but also extensive supply chains, ensuring quality and scale. Their presence in both the Gulf and India allows them to balance downturns and hedge against changing demand.

A Market of Shifting Sands

Even as Indian buying patterns evolve, Dubai remains a powerful hub for gold, ranking highest worldwide in gold demand per capita at 4.4 grams per year. Many locals and expats view gold as both an investment and a cultural necessity for weddings and festivals. Kalyan Jewellers notes that shopping is no longer limited to once a year—it now happens multiple times for different occasions, keeping a steady flow of buyers.

Malabar Gold and Diamonds is the third largest jewelry retailer in the United Arab Emirates
Image Credit: Malabar

Some companies are even adapting their business models to keep ahead of shifts. Malabar recently launched Mojawhraty, a concept targeting Arab clients with designs reflecting regional tastes. Meanwhile, Joyalukkas and Kalyan continue exploring regional manufacturing and expansion to offset potential tariff or import barriers.

Rising Competition and New Players

While the big three still dominate, competition is intensifying. India’s Tata Group, through its Titan Co. brand, recently acquired a controlling stake in Damas International, one of the Gulf’s oldest jewelry names. Titan’s Tanishq chain now has showrooms across the UAE, Qatar, and Oman, raising the stakes for long-established Indian jewelers in Dubai.

Industry experts warn that innovation in design and customer engagement will be critical for the next phase of growth. With Dubai’s diverse population and an increasing flow of tourists from outside South Asia, jewelers must broaden their appeal beyond their traditional buyer base.

The Road Ahead for Dubai’s Gold Magnates

Dubai’s gold tycoons have built an empire on cultural connections, business acumen, and bold expansion strategies. Yet, as regulations shift and buyer behaviors evolve, their grip on the market faces unprecedented pressure. The fall in jewelry demand serves as a reminder that fortunes in gold, no matter how glittering, can be vulnerable to global policy and pricing swings.

Still, with their deep-rooted brand presence, vast networks, and strong adaptability, these billionaire families are unlikely to lose their prominence anytime soon. Instead, they are expected to reinvent their strategies, exploring manufacturing, innovative retail concepts, and expansion into new demographics. Dubai’s reputation as a gold hub may see temporary setbacks, but the resilience of these families suggests the city will continue to shine in the global jewelry trade. Their story highlights how legacy, strategy, and adaptability can keep even the most traditional industries relevant in a changing world.

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