Dubai Indian Jewellery Importer Slashes Imports as Gold Prices Surge

Dubai Jewellery News: Gold Prices Shake Up Market

Bafleh Jewellery, one of the largest importers of Indian jewellery in the Middle East, has cut its import volumes by nearly 30 percent this year as international gold prices skyrocket. In just three months, prices jumped from USD 2,200–2,500 per ounce to USD 3,600, placing immense pressure on both traders and consumers. In this Dubai Jewellery News report, industry insiders note that buyers across major markets are showing resistance to heavier designs, forcing retailers to rethink their collections.

Bafleh Jewellery cuts import volumes by 30 percent as soaring gold prices reshape global demand trends
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Strategy Shifts to Lightweight Jewellery

The Dubai-based importer, led by Managing Director Ramesh Vora, reported only 600–700 kilograms of jewellery imported from India in the first eight months of this financial year compared to 1.2 tonnes in the entire previous year. While the value of imports has risen due to soaring bullion prices, overall volumes have fallen sharply. To adapt, Bafleh is introducing 14-karat jewellery next month, working with Indian suppliers in Delhi and Kolkata to maintain design quality while reducing gold content.

Diverse Market Preferences

Although lightweight designs are gaining traction in the Gulf, demand in African markets remains anchored in tradition. Buyers in Senegal, Ethiopia, and Nigeria continue to prefer heavy jewellery sets weighing 200–300 grams, focusing on grandeur rather than affordability. Meanwhile, Australian customers follow a barter system, exchanging gold bars for finished pieces, a practice that shields them from extreme price swings.

India Maintains Its Dominance

Despite the turbulence, Bafleh’s leadership remains bullish about Indian jewellery’s global standing. Vora emphasizes that handmade Indian jewellery still outshines machine-made products from Italy, Turkey, Singapore, and Indonesia. The company has won multiple awards for highest imports from India, including recognition in 2015, 2018, and consecutively from 2020 to 2022, cementing its position as a leading player.

Outlook Ahead

Industry observers warn that gold may reach USD 4,000 per ounce in the near future, adding to uncertainty. Importers like Bafleh are bracing for more volatility, but by diversifying product lines and leveraging India’s unmatched craftsmanship, they hope to maintain their competitive edge. While rising bullion costs have reduced overall business by as much as 40 percent, confidence in India’s jewellery artistry remains unshaken. This resilience suggests that even as prices climb, consumer trust in quality handmade jewellery will continue to sustain demand across global markets.

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