RAJKOT/LONDON (Commodity Online): Leicester in London is a place where Gujaratis from Rajkot city represent a good percentage of the population.
In the recent times what the Leicester witnessing is that the Gujaratis, whose business acumen can any Jew in the world, are cashing in on the gold boom.
With recession and job losses, Gujaratis in the east Midlands town of Leicester have been flocking to jewellery shops to cash in on rising prices of gold, selling their rings, chains and even dental braces made of gold.
The price of gold reached an all-time high of 757 pounds an ounce earlier this month, and scrap gold dealers are reported to be offering up to 100 pounds for a set of braces.
Jewellers are worried that they will be left with a lot of stock if the price drops. In the east Midlands town of Leicester comprises several jewellery shops.
Advertisements on television, radio and in newspapers have alerted people to current prices of gold and jewellers say that has placed them into a buyers’ market.
The Golden Mile in Leicester is reputed to be a major centre for jewellery in Europe, and jewellers there have close links with the jewellery industry in Gujarat.
Market is so volatile and the price is changing all the time but people are aware that gold prices are very high right now. But people are not buying, they just want to sell it.
The London Lingual Orthodontic Clinic is among the many that have witnessed a rising demand for gold braces.
Previously the braces were sent away to be recycled. But with gold prices rising, patients have increasingly asked if they can keep their braces and convert them into small items of jewellery or get them melted down.
As customers are happy that their jewellery is fetching high prices, jewellers are concerned about the impact it will have on them.