JEDDAH — Over 500 jewelry and gold workshops in the Kingdom’s various regions have shut down because of losses, said Abdul Ghani Al-Mahna, chairman of the Gold and Jewelry Committee at the Chamber of Commerce and Industry in the Eastern Region.

Al-Mahna who is also member of the National Committee for Precious Stones and Metals said 250 workshops quit the market due to the losses resulting from the rise in the international prices of the yellow metal adding, “Another 150 workshops run by foreigners pulled out because of their failure to abide by the licensing and trade regulations.”

Muhammad Jamil Azouz, a member of the committee, said 50 percent of the 3000 gold and jewelry workshops functioning all over the country are unlicensed, pointing out that most countries including Germany and Italy depend on small workshops and not on factories.

He said political upheaval and speculations have sent up the prices of the gold upwards.

Jamil Muhammad Farsi, chief of Jewels Merchants in Jeddah, said the reason behind the closure of the gold workshops and factories was the decline in demand coupled with the increase in the prices of the gold. — SG