Dubai Gold and Commodities Exchange

[pmbug]

JRG International Brokerage DMCC, a leading broker and clearing member of the Dubai Gold and Commodities Exchange, announced the launch of a novel scheme to encourage savings culture through systematic investment in "Visions of Dubai" gold coins on November 11, 2011.
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Central to the Emirates Investor Savings Plan, which seeks to foster an investment culture among both nationals and expatriates, is regular monthly investments, in a format made affordable to all income groups, in "Visions of Dubai" gold coins.

JRG International Chairman and Managing Director Mr. Hazza Mohammed Al Dhaheri, said, "The main objective of Emirates Investor Savings Plan is to promote a systematic investment habit and culture among all categories of investors across the UAE, including both nationals and expatriates. The plan encourages investors ranging from individuals to corporates to be a part of the inclusive economic growth of the UAE."
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JRG International has designed the structure of Emirates Investor Savings Plan as a systematic investment scheme — the most useful route for creating long-term wealth — with following features:

• JRG International will declare the price of the gold coin through its website on a daily basis.
• The price of the coin booked that date will be fixed with Dubai Gold and Jewellery Group base price declared by JRG International.
• The total price of gold coin fixed for the month can be paid in 12 equal monthly installments. In other words, by paying 1/12 of the market rate, customer can book the coin and the balance amount can be paid in 11 installments by availing of JRG International's financial support.
• Once the customer completes the 12 installments, the physical gold coin will be delivered from JRG International Dubai Office.
• The Investment Plan is available for all size of "Visions of Dubai" Gold Coin Series such as 1 oz, ½ oz, ¼ oz and 1/10 oz.
• The purchase of the gold coins can be done online at www.eSIP.ae on making payment using credit card/online transfer and the physical coin can be collected from JRG International Delivery Channels.

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http://www.ameinfo.com/280745.html

Will this lead to increased demand for physical gold in the UAE?

 

[DSAbug]

http://www.ameinfo.com/280745.html

Will this lead to increased demand for physical gold in the UAE?

Physical demand in the UAE is pretty substantial. When I went to the Dubai Airport, you could buy coins and bars at probably a dozen different places. Definitely the most physical gold i've ever seen in person. I guess this could help physical demand some (allowing people to buy physical on credit) but i don't see it being THAT big of a deal.

 

[dontdeBasemebro]

I remember seeing somewhere that in Dubai a company had started that ran a system of gold bullion vending machines, one of which was on the observation deck of the Burj Kalifa and sold unique coins and bars featuring the building's image.

 

[pmbug]

Looks like Dubai will be following in Shanghai's & Russia's footsteps.

Dubai Gold & Commodities Exchange plans to list a spot gold contract in the second quarter of next year as demand for the metal in the region increases.

The bourse, which offers gold and silver futures, is talking to local merchants and industry organizations and aims to get regulatory approval for the product by early 2014, said Chief Executive Officer Gary Anderson. Demand for bullion in Dubai expanded eightfold in the last six to 10 years, he said.
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Gold trade in Dubai totaled $45 billion in the first half of this year, compared with $70 billion in all of 2012, Gautam Sashittal, chief operating officer of government-owned DMCC, said in a Sept. 30 interview in Rome. The DMCC is a free zone with more than 7,000 companies, some in the precious metals industry, Sashittal said.
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The size of the spot gold contract will probably be 1 kilogram (32 ounces) and the DGCX is aiming to list a plastics contract in the first quarter, Anderson said. While there are “no concrete plans” yet for other precious metals products, a silver spot contract and platinum and palladium contracts may be possible in the future, Anderson said.
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http://www.bloomberg.com/news/2013-...t-gold-contract-as-regional-demand-jumps.html

 

[ancona]

These exchanges, if indeed they will be "different" and allow easy acquisition of gold through the purchase of contracts, could eliminate the Comex and London warehouses entirely. Folks will simply follow the path of least resistance when they want to take possession of their metals, instead of playing the Crimex games, which involves jumping through flaming hoops to get metal.

That's something I really, really want to see.

 

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The Dubai Gold and Commodities Exchange (DGCX), which originally planned to offer the first spot gold contract in the Middle East this month, now is expected to launch the contract in the next two or three months, says DGCX CEO Gary Anderson.
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As much of 40% of the gold traded globally comes through Dubai, the commercial hub of the United Arab Emirates, with US$75 billion of gold traded through the city last year, according to Ahmed Bin Sulayem, executive chairman of the Dubai Multi Commodities Center, which facilities the trade. Dubai has named itself the “City of Gold” and aims to facilitate gold trading between African gold companies and consumers in Asia and Europe.

The exchange hopes to attract mining companies, refiners, fabricators, traders and international banks to the new spot gold contract. The DGCX will aim for the delivery of gold within two days of a trade.

Refineries in the region are already increasing their capacities. The UAE has six gold refineries with combined annual refining capacity of more than 1,250 tonnes.

Kaloti Precious Metals in Dubai is building a $60 million refinery with an annual capacity of 1,400 tonnes of gold and 600 tonnes of silver, more than three times the capacity of Dubai’s current refineries. ...

http://www.mineweb.com/mineweb/content/en//mineweb-gold-news?oid=244615&sn=Detail