The General Department of Gold and Jewellery at the Federation of Egyptian Chambers of Commerce (FEDCOC) has announced an initiative to reduce the cost of gold jewellery during the month of May, in cooperation with workshops and retailers.
Head of the department Hani Milad said during a press conference on Sunday that this initiative aims to provide lower prices for customers.
And in cooperation with the Ministry of Supply and Internal Trade, he said that the division will also submit a request to the cabinet to allow Egyptians coming from abroad to bring in a certain amount of gold bars without paying customs.
Milad explained that the move is aimed at balancing local supply and demand.
He noted that certain mechanisms, controls and conditions will be put in place in cooperation with the concerned authorities to prevent manipulation, with a timeframe expected by the end of this year.
Gold prices are influenced by international stock exchanges, the US dollar exchange rate and supply and demand factors, which have now become the main indicator for pricing gold in the local market, he said.
Milad added that the local and global economic conditions have led to a decrease in liquidity and an increase in the desire of citizens to buy gold as a safe haven instead of fluctuating US dollar exchange rates.
He said the price offered for sale, which ranges from LE 2,800 to LE 2,900 per gram, is the same as the buying price for traders, referring to the most popular 21-carat gold.
The difference between the buying and selling prices has become very small, he said, adding that his department is not a pricing unit.
