Stella Dimoko Korkus.com: Why Nigerians Melt Their Gold Jewellery in Dubai

Pages

Advertisement - Mobile In-Article

Sunday, April 03, 2016

Why Nigerians Melt Their Gold Jewellery in Dubai

Dubai likes to describe itself as the city of gold - but many, including Nigerians, don't just come here to buy new jewellery, they also bring their old necklaces and bracelets to be melted down and restyled.


Getty image


Rows of 22-carat gold chains and bracelets twinkle in the shops at Dubai's main airport, one of the busiest in the world. Waiting by the gate for the 14:25 flight to Lagos in Nigeria, is the Esochaghi family, who are returning home after a shopping trip.
"My favourite pieces are these necklaces," says Ugochi Esochaghi, gesturing towards a small butterfly bobbing on a chain round her neck. "I got one for my daughter too, spelling out her name," she smiles, as toddler Valeria sucks her thumb.
"For me and my family, gold is a really treasured thing. I was brought up with it, I love it."


Esochaghi's gold butterfly sparkles under the bright airport lighting as she describes her latest visit to Dubai's famous gold souk. "We brought some of our old jewellery and it was weighed. We were then given some designs to choose from and the ones we wanted were created by melting down the gold we already had.

"It took around two days from start to finish. The product is good and it's also cheaper here than in Nigeria."
Husband Enyioha, who has been anxiously watching the airport clock, agrees to pose for a photo with a bottle of Johnnie Walker Gold Label whisky he bought in duty free. Esochaghi can't hide her glee. "You don't see this everywhere, it's a special thing so we're giving it to a good friend as a gift."


As people become increasingly connected and more mobile, the BBC is exploring how identities are changing. The Esochaghis' story is part of a series about travellers passing through Dubai International - one of the biggest airports on Earth.

But is it normal for Nigerian families to travel to Dubai to buy gold?

"Yes," says Ugochi, as she heads for the departure gate. "A lot of my friends come here. It's a popular thing to do." One of seven Emirates, for years Dubai has been furiously marketing itself as a tourist hub - last year it attracted more than 14 million visitors who stayed for at least one night. And gold tourism has been carefully cultivated.

Although there are other global centres for the gold trade - India and China being two of the biggest - according to the World Gold Council (WGC) about 30-40% of the world's gold flows through tiny Dubai.
"Ten to 15 years ago Dubai became famous as a gold souk. Since then it's developed as a commodities centre, and a trading business has emerged," says John Mulligan, the WGC's head of member investor relations.

Not having a sales tax is key, Mulligan says, as is the quality of the gold on sale, which makes it an attractive investment. "It's generally high caratage, which means it's relatively pure. If you're buying jewellery, the gold will have high intrinsic value. Because of this it will be easy to work out how much it's worth."
Ugochi Akwiwu, a travel blogger, tells me more about her love of gold from her home in Benin City, Nigeria. "Nigerians in general love gold and in my part of the country it's a show of wealth," she says.

"My roots are with the Igbo community in south-east Nigeria and it's traditional for mothers to hand down their gold to their daughters. Men get property and land, women inherit gold and Hollandais - traditional patterned fabric wraps."

Ugochi Akwiwu's tips for budding gold buyers

  • Haggle, haggle, haggle - it's expected and the only way to get the best price
  • •Take your passport as this will be required by gold merchants and when you've bought your jewellery, don't forget to collect your receipt
  • •Only buy from a reputable shop - you might be approached in the street by men offering to sell you jewellery but don't be tempted
  • •Check the current price of gold on the day of your planned purchase

Akwiwu travels to Dubai once a year, invariably coming back with gold, often in the form of earrings. These are just for herself and her family but others have turned shopping trips into a business. "When I was at school some of my classmates made money by buying gold in Dubai and selling it in Nigeria.
"A few managed to put themselves through university with the profit. Gold is roughly $5 (£3.60; 4.50 euros) a gram cheaper over in Dubai and who doesn't like a bargain?"

With fluctuating exchange rates, the price disparity can be even greater and there are opportunities for serious buyers. Lagos-based Talutu Ahmed Olulana, for example, is a self-made woman who trades in gold. "We buy around 5kg of gold a year and the source depends of what it's used for," she says. "I get raw gold from Africa but for finished gold I'll go to Italy, India and Dubai.

"Gold is a store of value, it is movable, divisible, it appreciates and it provides a hedge against inflation. It's really a true measure of wealth."
Yet, like Akwiwu, she does not only regard gold as a commodity to be bought and sold. "It's symbol of royalty. Traditionally kings, queens and chiefs would be adorned with what we call the king of metals - gold," she says.
"I'm from Kogi state in north-central Nigeria and culturally we ascribe a lot of importance to owning it. In most parts of my state owning gold is a prerequisite of marriage."

Fast cars and flashy jets may come and go, but - for Nigerians in particular - there will always be gold.

BBC reportage



24 comments:

  1. Speaking of dubai, just went to spy that Dano mothers competition... one mama form nowhere just came, and s is leading oooo... 2982 votes... chimoo!they done dey buy votes

    ReplyDelete
    Replies
    1. And a lot of atrocities happen because of this exchange or remaking of gold. Sellers dupe their clients by taking away their real gold that they want to exchange, and then bring them a substandard one.

      A particular incident happened in lagos not too long ago. The gold seller was found to have been duping her clients by reshuffling gold jewelry between different clients, and getting double the amount. Passing old as new. She wasn't smart enough because she was dealing with society women who meet themselves in public functions. Viola, she was blacklisted.

      You have to be able to tell the real gold to survive the market, whether you are a buyer or seller. Else na one chance be that.

      Delete
    2. That competition is fake! It only exist here.

      Delete
    3. I jus weak too my sister

      Delete
    4. Hmmmmmmmmmmm
      That dano contest tire me!
      Something is wrong somewhere.

      Delete
  2. this is the only sensible thing Yoruba people do with their money..Stella u must enjoy me

    ReplyDelete
  3. Ok o! Naija n gold. Hollywood and Diamond.

    ReplyDelete
  4. This family mentioned here is my childhood friend, we grew up together. And sending the link to him now, sharp sharp.

    Just kris

    ReplyDelete
  5. olori western union3 April 2016 at 09:53

    I love love gold, and I invest heavily on it

    ReplyDelete
  6. Chai, I though India was the best place for gold.
    Here in Lagos, don't want to be cheated, do I find even bother searching for places.

    ReplyDelete
  7. God I love gold. My husband should better himself cause I am going to his is money to acquire golds.

    ReplyDelete
  8. Shebi in the bid to feel funky growing up,we took my mother's gold he gave us to a "Goldsmith" telling him to spell out our names..this guy moulded something flat,sprayed our names on it and gave us back.

    Worst mistake ever. Fake Goldsmith.

    ReplyDelete
    Replies
    1. Hahahahahahahahahahhaah Iphie dearie tell me it's a joke,what did your mother say to you people? I will cut the goldsmith neck I swear

      Delete
    2. Ada,the thing looked ridiculous. Like "akpu" that was molded together.
      We must wear them oooh..Is all she said. And wear them we did.


      Delete
  9. you would think being a muslim country these gold sellers would have the fear of God. I learnt the hard way. Be very careful when buying Gold in Dubai and Italy. I used to buy a lot of Gold there and also in Valencia years back and recently had a cash flow problem thus i decided to pawn some of it and low and behold when tested most showed 14 karat!! Some of the italian ones also showed as 14k. The owner of the pawn shop said he's lost count of the number of Nigerians he's seen over the years who'd been shortchanged.

    ReplyDelete

Disclaimer: Comments And Opinions On Any Part Of This Website Are Opinions Of The Blog Commenters Or Anonymous Persons And They Do Not Represent The Opinion Of StellaDimokoKorkus.com

Pictures and culled stories posted on this site are given credit and if a story is yours but credited to the wrong source,Please contact Stelladimokokorkus.com and corrections will be made..

If you have a complaint or a story,Please Contact StellaDimokoKorkus.com Via

Sdimokokorkus@gmail.com
Mobile Phone +4915210724141