Surendran alleged that those who sold gold at a lower price yesterday were raising the price by Rs 30 a gram today.
Thiruvananthapuram, First Published Feb 17, 2022, 2:59 PM IST
THIRUVANANTHAPURAM: Jewelers in Kerala, who had struggled to keep their gold prices in check due to a jewelery dispute, today sold gold at the same rates as fixed by the All Kerala Gold and Silver Merchants Association. K Surendran, general secretary of the association, said the pricing system could not be changed under the terms of some bigwigs.
Advocate S Abdul Nasser, State Treasurer of the All Kerala Gold and Silver Merchants Association, said, “We welcome the realization that the pricing system that has been followed for ages is genuine.” The big jewelers should refrain from competing with each other by giving unnecessary competition and dishonest offer advertisements. Kerala has a model pricing system similar to other states. He said that based on this, the price of gold is announced every day.
Surendran alleged that when the price of gold fell today, those who sold gold at a lower price yesterday added Rs 30 per gram today. It has been proven once again that an organization is bigger than individuals. One day yesterday, some people unnecessarily reduced the price and put the gold market in crisis. He also lauded the gold traders in Kerala for taking a strong stand against them.
Pricing method
The rupee depreciated against the dollar in early trade from the London Bullion Markets Association (LBMA) at 9.30 am and the Reserve Bank of India at 9.35 am today. Accordingly, the price in Kerala is determined by looking at the Mumbai market price and the price level of the banks in Kerala. The association has decided to take a profit of up to two per cent from the actual price, but today the price has been set at a lower profit.
Thus the dispute
The current crisis comes after a large jeweler announced yesterday that it would pay Rs 100 more for old gold and that it would give gold without labor. Two other jewelers in the state who had protested the association in the incident yesterday sold gold at a price lower than the rate fixed by the association. Gold prices fell by Rs 60 to Rs. But the struggling jewelers reduced the price by another Rs 70 per gram. This is when the controversy started. The All Kerala Gold and Silver Merchants’ Association had yesterday said that such people were trapping people in shops and paying them gold at the desired price and wages.
Last Updated Feb 17, 2022, 3:07 PM IST
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