Gems & Jewlery Report - DITPditp.go.th/files/Jewlery.pdf · Synthetic or reconstructed precious or semi-precious stones. Dust and powder of natural or synthetic precious or semi precious

Gems & Jewelry in Egypt Thai Trade Center, Cairo Sherif Yehya

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PRODUCT PROFILE

GEMS AND JEWELRY (71) Natural or Cultured Pearls, Precious or Semi-Precious Stones, Precious Metals, Metals Clad with Precious Metal, and Articles Thereof; Imitation Jewelry; Coin

CONTENTS

1. Range of Products………………………………………………………………. 02

2. Product’s Demand in Market…………………………………………………… 02

3. Production Situation……...……………………………………………………... 04

4. Import & Export Volume & Statistics…………………………………………... 03

5. Tariffs Egypt Using Harmonized System Nomenclature…………………..….. 10

6. Supply-Demand Side……………………………………………………………. 11

7. Trend of Consumption………………………………………………………….. 11

8. Market Condition……………………………………………………………….. 11

9. Distribution Channels…………………………………………………………… 18

10. Marketing…………………………………………………………………........... 18

11. Consumer Behavior………………….…………………………………………... 18

12. Import Procedures & Regulations………………………………………………... 19

13. Non-Tariff Barriers………………………………………………………………. 19

14. Industry Promotion & Development……………………………………………... 19

15. Trend of Industry…………………………………………………………………. 19

16. List of Egyptian Importers……………………………………………………….. 20

17. List of Gems & Jewelry Organization or Association…………………………… 22

SHERIF YEHYA January, 2013

Office of Commercial Affairs Royal Thai Embassy

(Thai Trade Center, Cairo)


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1. Range of products � Pearls natural or cultured. � Diamonds. � Precious stones, semi-precious stones. � Synthetic or reconstructed precious or semi-precious stones. � Dust and powder of natural or synthetic precious or semi precious stones. � Silver, including silver plated with gold or platinum. � Base metals clad with silver. � Gold, including gold plated with platinum. � Platinum. � Jewelry. � Goldsmiths’ or silversmiths wares. � Imitation jewelry � Coin, silver or gold.

2. Product’s demand in market Egypt has high capabilities in the world for producing jewelries and accessories where Egypt is capable of producing the genuine and costume jewelry. State’s concern to launch all the procedures and activities towards supporting and promoting product quality and impose strict measures to analyze and inspect exports of gems and jewelry in accordance with the international standards applicable has contributed to develop the gems and jewelry market in Egypt. The final products or finished products of jewelries either gold, silver, diamonds, pearls or others are the most circulated products in the markets due to the lack of raw materials. Egyptians are famous for their jewelry, and probably have been throughout history. Examples are abundant on statutes and paintings or relieves of queens, but also any number of noble and even common women. Jewelry was used for adornment, protection as in amulets, and of course, as symbols of status. In fact, the world’s oldest known surviving jewelry is said to have been found on an Egyptian queen Zer, a bracelet made from turquoise and gold. Jewelry was often made of gold, but somewhat later, silver was used. Besides turquoise, which was mined early on in the Sinai, other popular stones included lapis lazuli, and carnelian, and amethyst. The jewelry craze did not stop with the ancient Egyptians. When the Arabs came to town, they bought with them a wide range of jewelry which, while different then the ancient Egyptian designs, nevertheless were beautiful and unique in their own way. The Arabs have always been great designers, and today, Arab jewelry remains timelessly elegant, often with impressive calligraphy and arabesque designs. In Egypt, jewelry might be broken down into several categories. These might consist of: - Cheap Jewelry: This includes both jewelry for tourists and Egyptians, which often consists of Bedouin designs made from silver and less precious metals. One may find this throughout


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Egypt, in both tourist establishments as well as shops that deal with the local populous, though these are often not jewelry stores. More often then not, they are stores that sell a variety of Arabic items. Some of the better items are sold through stores owned by the craftsman who make the jewelry. This type of jewelry can usually be purchased for well under 10 USD. - Tourist jewelry: The most common jewelry that is pushed to tourists are slightly more expensive, made from either gold or silver. Usually, this jewelry has a pharaonic design, such as the ever popular cartouch and “head of Nefitari pendants. This type of jewelry can be purchased all over the Internet, but usually well above the price that one may pay in Egypt. In Egypt almost every single jewelry store carries some for of tourist jewelry , so it may be found at your hotel, the Khan, and just about anywhere else. The cost of this type of jewelry in Egypt may range anywhere from approximately $15 to $250, those considering the variety available, pieces might be found for somewhat less, and occasionally, a great deal more. - Tourist Jewelry – Fine Antiquity Reproductions: For an example of a fine reproduction which is not really an artifact at all, but a carefully made reproduction of an actual piece. Normal tourist jewelry is rarely made to exacting details as reproductions of actual jewelry from Egypt’s antiquity, and in fact, most of it bares no resemblance to actual historical pieces. However, a few jewelers to make such reproductions, which are generally very expensive, and for good reason. Most use massive amounts of gold with setting stones that match the actual museum piece. Frankly, this type of jewelry may probably be found just as easily outside of Egypt as in Egypt, though it is likely to be less expensive if found in Egypt. Mostly, this type of jewelry is found in some of the finest jewelry store, and a few locations in the Khan el-Khalili. Look for prices beginning in the $250 range with an upper limit in excess of $5,000. - Regular Egyptian Jewelry: Regular, or non tourist jewelry can really be broken down into two types of jewelry, consisting of very normal items which might be found everywhere in the world, and items more unique to the Middle East. An as elsewhere in the world, the price range varies from under $100 on up. - Ordinary: By ordinary, we mean jewelry that might be purchased by an Egyptian in Egypt, or people anywhere else in the world in their local jewelry store. However, due to exchange rates and the high competition of many jewelry stores in Egypt, bargains may be easily found. Gold and silver jewelry is often sold almost strictly by weight. - Arabic and Egyptian: The Egyptians are very fine jewelers, and some of their modern, non-tourist jewelry is elegant and even inspired, not to mention unusual. This jewelry often discourages the use of diamonds in favor of larger, more exotic stones, and the striking result can be fantastic.


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3. Production Situation Nature of Product: Categories of gems and jewelry in Egypt vary widely from the old design to the class one. Such variety has come to reflect the different tastes for consumers along with their level represented by their purchasing power. For the national consumers they prefer the stylish design and French one specially if produced from diamonds, pearls and other precious stones and that is applicable only to the high-standard stratum of population. The low-standard stratum of population tends to acquire the durable jewelries made up of gold and silver. For the foreign consumers they found it is appealing to acquire the jewelries that bears the old tinge and design specially that reflect the pharaoh’s style. Power of Product Egypt has high capabilities in the world for producing jewelries and accessories where Egypt is capable of producing the genuine and costume jewelry. State’s concern to launch all the procedures and activities towards supporting and promoting product quality and impose strict measures to analyze and inspect exports of gems and jewelry in accordance with the international standards applicable has contributed to develop the gems and jewelry market in Egypt. The final products or finished products of jewelries either gold, silver, diamonds, pearls or others are the most circulated products in the markets due to the lack of raw materials. Production Mechanism: Manufacturing of gems and jewelry in Egypt has been governed mainly by small workshops concentrated in the old city, El Moski, Cairo, which is called “El Sagha” means Jewelry Manufacturing. The number of workshops working in El Sagha ranges from 4500 – 5000 workshops manufacture jewelry either the old fashion attributed to the ancient Egyptians or the modern one inspired from the French style and the international styles. During the last few years huge factories initiated projects as gems and jewelry manufacturing in Egypt leading to creating a fierce competition in the jewelry market and to put the small workshops in front of a great challenge. They’ve started one following the other to amount to around 6-10 factories concentrated in the new communities such as El Obour City, 6th of October City, 10th of Ramadan City. Number of Labour Number of labour is dependent mainly on the size of factory or workshop, for example for the big factories the number of labour amounts to 100 or a little bit above, and for the workshops labour ranges from 5-10 workers according to the size of the workshop.


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Imports in US$ 2011

Imports in US$ 2010

Thailand World Thailand World 25,488 49,635,123 354,937 92,655,659

Growth Rate % World - 86.67 Thailand -1,292.56

4. Import-Export Volume: Imports by value: Egypt is characterized with a distinguished consumption of gems and jewelry, and their current custom dates back to the ancient Egyptians since a very long time. Egyptian imports of gems and jewelry have reached US$ 49,635,123 in 2011 from all over the world and US$ 25,488 from Thailand with a remarkable decline for the world imports of 2010 where they have been US$ 92,655,659 as well as for Thailand imports where they have been US$ 354,937 in 2010. That means Egyptian imports in 2010 have surpassed its corresponding imports in 2011 with a ratio of -86.67% approximately. Thailand imports in 2010 have surpassed its corresponding imports in 2011 with a ratio of -1,292.56%% approximately. In another word Thailand market share compared to the world in such sector was 0.38% in 2010 and 0.05% in 2011. The following tables show major imported products of gems and jewelry by Egypt in 2009, 2010, 2011and 2002 (Jan. – May) and it is evident that Egypt imports most of its requirements of gems and jewelry, where on the contrary it most of its exports are from base metals.

Egyptian Imports of Gems & Jewelry from World 2009 US$

2010 US$

2011 US$

2012 (Jan. – Oct.) US$

77,091,445 92,655,659 49,635,123 103,291,672

Egyptian Imports of Gems & Jewelry from Thailand 2009 US$

2010 US$

2011 US$

2012 (Jan. – Oct.) US$

Thailand Share Thailand Share Thailand Share Thailand Share 3,885,105 5.04% 354,937 %0.38 25,488 %0.05 43,466 0.07%


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TOP TEN IMPORTS (2009)

HS CODE DESCRIPTION IMPORTS 2009 (US$)

7118909000 Coin (other than gold or silver coin), being legal tender 20,837,385 7102210000 Diamonds, sorted, industrial, unworked or simply sawn, cleaved or bruted 14,638,409 7108120000 Gold (including gold plated with platinum), non-monetary. 13,306,456 7118109000 Coin (other than gold or silver coin), not being legal tender 5,392,934 7107000000 Base metals clad with silver, not further worked than semimanufactured. 4,192,528 7117909000 Other articles of imitation jewels, of other materials other than base metal 3,431,595 7106921000 Bars, rods, profiles and wires, of silver 2,247,904 7108130090 other articles of gold (including gold plated with platinum) 2,042,659 7113190000 Articles of jewellery and parts thereof, of other precious metal 1,894,195 7115900090 Other articles of other precious metals or of base metal clad with platinum 1,796,583



7108120000 Gold (including gold plated with platinum), non-monetary 51,749,881 7118909000 Coin (other than gold or silver coin), being legal tender 15,014,416 7117909000 Other articles of imitation jewels, of other materials other than base metal 8,496,221 7117110000 Cuff-links and studs, of base metal, 3,457,733 7106921000 Bars, rods, profiles and wires, of silver 3,272,846 7110190090 Platinum, in other semi-manufactured forms 2,015,496 7113190000 Articles of jewellery and parts thereof, of other precious metal 1,995,136 7117199000 Other articles of imitation jewels, of base metal 1,963,561 7106910000 Silver (including silver plated with gold or platinum), unwrought form 1,410,901



7108120000 Gold (including gold plated with platinum), non-monetary. 31,186,576 7117909000 Other articles of imitation jewels, of other materials other than base metal 5,444,578 7106921000 Bars, rods, profiles and wires, of silver 3,292,427 7117199000 Other articles of imitation jewels, of base metal 2,610,259 7117110000 Cuff-links and studs, of base metal 1,953,914 7118909000 Coin (other than gold or silver coin), being legal tender 1,224,729 7117191000 Imitation jewels/ 983,430 7115100000 Catalysts in the form of wire cloth or grill, of platinum 702,816 7117901000 Imitation jewels, of other materials other than base metals 670,762 7113190000 Articles of jewellery and parts thereof, of other precious metal 646,724


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TOP EXPORTING COUNTRIES (TO EGYPT): TOP EXPORTING COUNTRIES (2009)

2009 2010 No. Exporting Country Import Value

US$ No. Exporting Country Import

Value US$ 1. United Kingdom 20,811,434 1. UAE 15,639,537 2. Italy 18,482,712 2. United Kingdom 15,249,244 3. UAE 8,379,887 3. U.S.A. 14,179,607 4. China 5,936,646 4. Switzerland 12,685,268 5. Switzerland 5,922,093 5. South Africa 7,935,531 6. Thailand 3,885,105 6. China 7,165,179 7. Japan 2,978,835 7. Morocco 6,603,316 8. Germany 2,645,436 8. Germany 4,930,511 9. Belgium 2,511,437 9. Italy 1,733,309 10. U.S.A. 1,181,853 10. Kingdom Of Jordan 1,727,719 11. France 1,139,857 11. Greece 1,257,320 12. Kingdom Of Saudi-Arabia 811,537 12. Hong Kong 841,111 13. India 671,180 13. India 602,251 14. European Economic Com/ 527,742 14. Thailand 354,937 15. Turkey 258,709 15. France 329,725

TOTAL 77,091,445 TOTAL 92,655,659 TOP EXPORTING COUNTRIES (2010)

2011 2012 No. Exporting Country Import Value

US$ No. Exporting Country Import

Value US$ 1. UAE 4,145,210 1. UAE 25,429,145 2. China 8,717,642 2. Switzerland 22,394,054 3. South Africa 4,493,882 3. United Kingdom 5,570,683 4. Switzerland 3,462,062 4. Germany 5,569,861 5. Germany 3,099,621 5. China 3,452,672 6. Italy 1,387,710 6. Hong Kong 978,188 7. United Kingdom 1,358,972 7. Italy 517,553 8. Hong Kong 1,016,183 8. Kingdom Of Saudi-Arabia 265,471 9. South Korea 306,701 9. France 260,938 10. U.S.A. 277,890 10. India 118,816 11. France 266,658 11. Turkey 118,366 12. Spain 261,994 12. Spain 69,298 13. India 250,510 13. Austria 68,939 14. Lebanon Republic 204,466 14. U.S.A. 57,497 18. Thailand 25,488 16. Thailand 43,466

TOTAL 49,635,123 TOTAL 65,076,064


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Value in US$ 2011

Value in US$ 2010

Thailand World Thailand World 0.00 1,711,123,559 0.00 1,051,176,400

Exports by Value

Egyptian Exports of Gems & Jewelry from World and Thailand 2009 US$

2010 US$

2011 US$

2012 (Jan. – Oct.) US$

982,113,653 1,051,176,400 1,711,123,559 1,140,513,861

Egyptian Exports of gems and jewelry has been relatively weak in 2010 amounting to US$ 1,051,176,400. In 2011 the exports of gems and jewelry from Egypt has witnessed a considerable improvement to become US$ 1,711,123,559 with a growth rate of around 38.57%. Exploring new markets and relieving some restrictions related to the exports of such products in addition to amending some regulations and policies governing them within the framework of state policy of economy reform started in 2009 and the country’s concern to improve their exports were all the reasons behind the enormous leap in Egyptian exports from 2010 to 2011. It worth mentioning that in 2010several new markets have been emerged for the Egyptian gems and jewelry markets. TOP TEN EXPORTS (2009)


7108120000 Gold (including gold plated with platinum), non-monetary, unwrought forms. 832,137,384

7108200000 Gold (including gold plated with platinum), monetary 62,496,726

7108110000 Gold (including gold plated with platinum), non-monetary, in powder form. 47,885,891

7108130010 Bars, rods, profiles and wires, of gold (including gold plated with platinum), in other semi-manufactured forms, non-monetary 16,062,668

7108130090 other articles of gold (including gold plated with platinum), in semi-manufactured forms, non-monetary 11,145,477

7106921000 Bars, rods, profiles and wires, of silver (including silver plated with gold or platinum), in semi-manufactured forms 10,282,078

7117909000 Other articles of imitation jewels, of other materials other than base metal 1,477,042

7118909000 Coin (other than gold or silver coin), being legal tender 215,828

7106929000 Other articles of silver, (including silver plated with gold or platinum), in semi-manufactured forms 103,867

7106910000 Silver (including silver plated with gold or platinum), unwrought form 99,980


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TOP TEN EXPORTS (2010)


7108120000 Gold (including gold plated with platinum), non-monetary, unwrought forms. 1,028,545,620

7108200000 Gold (including gold plated with platinum), monetary 9,399,554

7108110000 Gold (including gold plated with platinum), non-monetary, in powder form. 5,002,521


7108130010 Bars, rods, profiles and wires, of gold (including gold plated with platinum), in other semi-manufactured forms, non-monetary 2,399,254


7106921000 Bars, rods, profiles and wires, of silver (including silver plated with gold or platinum), in semi-manufactured forms 513,956

7106910000 Silver (including silver plated with gold or platinum), unwrought form 256,870


7114110090 Other silversmiths' wares, whether or not plated or clad with other precious metal 105,363

TOP TEN EXPORTS (2011)


7108120000 Gold (including gold plated with platinum), non-monetary, unwrought forms. 1,699,067,358

7106910000 Silver (including silver plated with gold or platinum), unwrought form 6,118,769


7114110090 Other silversmiths' wares, whether or not plated or clad with other precious metal 1,539,261



7115900010 Other articles of precious metal or of base metal clad with precious metal, other than catalysts in the form of wire cloth or grill, of platinum, for industry and labs 339,002

7118109000 Coin (other than gold or silver coin), not being legal tender 157,766

7107000000 Base metals clad with silver, not further worked than semimanufactured. 105,755

7117191000 Imitation jewels, for made- up clothes, shoes, traveling equipments, hand bags and belts, of base metal, whether or not plated with precious metal 31,165


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5. Tariffs Egypt Using Harmonized System Nomenclature

H.S. Code

Product Description Tariffs

Number of lines in the level below

7102 Diamonds, whether or not worked, but not mounted or set 30% 5 7103 Precious stones (other than diamonds) and semi-precious stones, 30% 3 7104 Synthetic or reconstructed precious or semi-precious stones 30% 3 7105 Dust and powder of natural or synthetic precious or semi-precious

stones 20% 2

7106 Silver (including silver plated with gold or platinum), unwrought or in semi-manufactured forms, or in powder form

40% 3

7107 Base metals clad with silver, not further worked than semi-manufactured

40% 1

7108 Gold (including gold plated with platinum), unwrought or in semi-manufactured forms, or in powder form

40% 4

7109 Base metals or silver, clad with gold, not further worked than semi-manufactured

40% 1

7110 Platinum, unwrought or in semi-manufactured forms, or in powder form 40% 8 7111 Base metals, silver or gold, clad with platinum, not further worked than

semi-manufactured 40% 1

7112 Waste and scrap of precious metal or of metal clad with precious metal; 40% 3 7113 Articles of jewellery and parts thereof, of precious metal or of metal

clad with precious metal 60% 3

7114 Articles of goldsmiths' or silversmiths' wares and parts thereof, of precious metal or of metal clad with precious metal

60% 3

7115 Other articles of precious metal or of metal clad with precious metal 60% 2 7116 Articles of natural or cultured pearls, precious or semi-precious stones

(natural, synthetic or reconstructed) 60% 2

7117 Imitation jewellery 60% 3 7118 Coin 20% 2


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6. Supply-demand side: On the demand sided, with 82 million citizens, Egypt is the most populous country in the Middle East. It’s not yet a truly market economy but under the current government’s business-minded and globally-aware Minister of Trade and Industry new opportunities are emerging for suppliers from Asia, particularly such countries as Thailand, Hong Kong and others gems & jewelry trade centers overseas. On the supply side, Thailand with its sophisticated gems and jewelry industry directed mainly to upscale markets with high-end technologies would find it even more easier to penetrate the Egyptian markets with such products as shirts especially for gems and jewelry. 7. Trend of Consumption: Categories of gems and jewelry in Egypt vary widely from the old design to the class one. Such variety has come to reflect the different tastes for consumers along with their level represented by their purchasing power. In Egypt and in adherence with the Islamic teachings, it is entirely prohibited for men to wear god items, subsequently using gold jewelries is restricted only to the Muslim women and for the other religions either males or females can use the gold, considering that Islam represents around 94% of the total population. For the consumers of the medium level and under, they’ve started to impose strict disciplines on the purchasing of jewelries due to the soaring prices during the last period where prices of jewelries have been doubled or more. For the consumers of the high level and above, they’ve started to find substitute for the gold jewelries in the form of diamonds in the aftermaths of hiking prices of gold jewelries which attributed to making their prices close to the diamonds prices which were a dream of every consumer. For the national consumers they prefer the stylish design and French one especially if produced from diamonds, pearls and other precious stones and that is applicable only to the high-standard stratum of population. The low-standard stratum of population tends to acquire the durable jewelries made up of gold and silver. 8. Market Condition The prices of gold jewelries in Egypt could be summarized as follows:

- 24-carat gold has amounted to 323.86 LE ($53.26) per gram. - 22-carat gold has amounted to 296.88 LE ($48.83) per gram. - 21-carat gold has amounted to 283.40 LE ($46.62) per gram - 18-carat gold has amounted to 242.94 LE ($39.97) per gram. - 14-carat gold has amounted to 188.99 LE ($31.11) per gram. - 10-carat gold has amounted to 135.04 LE ($22.25) per gram. - 1 ounce of gold has amounted to 10169.35 LE ($1670.20). - 1 gold pound has amounted to 2267.2 LE ($372.96). - 1 kilogram of gold has amounted to 326944.5 ($53696.93).


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The prices of silver in Egypt could be summarized as follows: - 1 Ounce of silver amounted to 186.79 LE ($30.87). - 99.9 carat (pure silver) has amounted to 6.00 LE per gram. - 95.8 carat (British silver) has amounted to 5.75 LE per gram. - 92.50 carat (Australian silver) has amounted to 5.56 LE per gram. - 90 carat (coin silver) has amounted to 5.41 LE. per gram. - 80 carat (jewelry silver) has amounted to 4.80 LE per gram.

Egypt has always been famous for gold. The skin of the ancient god was said to have been made of gold, and so it was frequently used for making statues, but it was also used to gild various items, sometimes including entire building elements and of course, to make jewelry. Also, as a compound together with silver, it produced electrum which was often used, for example, to cap obelisks. Though Egypt had few of its own gold mines, gold was one of the reasons that Egypt maintained such an interest in Nubia over many thousands of years, it seems, had an abundance of gold resources. Today, Egyptians continue to prize gold, as on might suppose by the sheer number of jewelers showcasing vast quantities of jewelry made from the precious metal. Tourists cannot help but notice this, as they wander about the tourist markets such as the Kan el-Khalili, as they will encounter many stores full of golden trinkets. Indeed, while gold tends to maintain a somewhat steady price throughout the world, there are sometimes even bargains to be found for gold jewelry in Egypt. Specifically, the price of working the gold into jewelry by Egyptian artisans is usually less expensive in Egypt than, for example, the US and many European countries, even though Egyptian jewelers are very good at this. Also because raw gold has such a fixed price, items made from gold are usually relatively expensive for Egyptians in comparison to other goods that they buy. However, they are compelled to buy gold for special occasions and as gifts for their loved ones, but because of its relative cost, the markup for retail may sometimes be slimmer than in other regions of the world. Hence, knowing where Egyptians buy their gold jewelry can be a real advantage to tourists. When tourists come to Egypt, they usually shop where their tour guides lead them. These places include different shops around the area of the pyramids in Haram and the famous Khan el-Khalili market in the area of Hussein. Though one might find good souvenirs, they are not the best places to buy regular gold jewelry. Recently, two general locations have been explored where Egyptians frequently purchase their gold jewelry. One is not far from the Khan el-Khalili market, called El Sagha, which can be translated as “gold shops” in Arabic, while the other is in Heliopolis at a place called Game’ Square. Also a few shops in Zamalek have been explored, where very upscale jewelry is sold. One may also note that the way gold is sold in these locations varies. Anyone who has purchased gold in the Khan el-Khalili knows that merchants there typically price their items according to its weight, specifically, the number of grams. Of course, these prices vary according to the color, either gold or white, and the measure of purity (carats). That is the same way that gold is sold at Game’s, but at El


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Sagha, the price is made up a compound amount consisting of the item’s weight plus a fee which is added on for its design. The price per gram can vary from store to store by a few Egyptian pounds. Note also that the price of gold can vary over time. There are some of the best stores in El Sagha district: Hedeya, which displays a grand selection of gold items including earnings and necklaces, though it is perhaps best known for its bracelets. Hedeya sells mostly Egyptian gold colored either gold or white. A gram of 18-carat gold, on this date, costs 200 Egyptian Pounds (LE), while a gram of 21-carat gold, which is of course more pure, sells for 220 LE. 18-carat white gold sells for 251 LE per gram, while 21-carat white gold sells for 223 LE. However, as mentioned above, theses prices do not include the actual design, or manufacturing of the item; taking the raw gold and making it into jewelry. According to the owner of Hedeya, it is much more difficult to provide any solid rules on such pricing, but in general, one of the factors that has made gold jewelry in Egypt an attractive item for tourists is that this workmanship, even though finely done, is much less than in most western countries. However, this shop has a good collection of gold bracelets within the price range of 4,000 to 6,000 LE, with very heavy necklaces costing between 5,000 and 7,000 LE. Belal Nagaty, which on this particular date charged precisely one pound less for both 18 and 21 carat yellow gold. This store seems to be best known for its well designed rings, which typically range in price from 2,500 to 3,500 LE. Down the street, we found the Tazi shop, which actually has two outlets in El Sagha. Their prices per gram of gold mirror those of the Hedeya shop, but the owner offered a few interesting details. Specifically, he said that it was important to obtain a stamped, details receipt from any shop where gold jewelry is purchased, providing information such as the weight, and the price of the manufacturing and the details of the time itself. In addition to Egyptian pieces, this shop also sells Italian Lazordi gold jewelry, sometimes at rather surprising prices. Most tourists like the more simple designs, especially the rings. He showed me a classic ring with the flower shape in 21-carat white gold for 2950 pounds. We also found a good collection of white gold bracelets that range from 4,000 to 6,000 LE. Here, we also found colorful 18 carat yellow gold bracelets for 3.000 LE and a 21-carat white gold cross for 2,400 LE. This shop carries a wide variety of earnings ranging in price from 600 to 3,000 Egyptian pounds, according to the weight and design. The Hussein Badr Shop in Sagha, is famous for its especially large white and yellow gold bracelets. There prices are mostly the same as the other shops, with items ranging between 4,000 and 10,000 LE. Here, a number of more expensive bracelets containing diamonds are also available. Tourists will note that the weight of diamonds is stated in Qirat, from which the western term Carat is derived. However, the weight of a one carat diamonds should be the same as that of a one Qirat diamonds, which is equal to 0.2 grams.


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Other reputable jewelers in the district include Farzan, Bolbol Hedaya, and Hamdy Mursi . Many of these shops carry a large variety of gold and diamonds rings, earnings, bracelets and necklaces. Perhaps most importantly, one should realize when buying from these shops that, while the price per gram of gold is usually fixed, one may usually negotiate the price of the design work, which is often required to obtain the best price. Which raises the obvious question of how much the design work should cost. Perhaps this issue can be answered, at least in some part, by visiting to another famous jewelry district, Game’s Square in Heliopolis. Here, there are more than 20 shops which, in general, sell their gold jewelry according to gram w eight along. In other words, there is no additional charge for the design work. At the same time, one must keep in mind that this square, near Korba beside Beirut Street, caters more to an upscale market, and their jewelry inventories frequently meet a somewhat higher standard than those in El Sagha. Of the variety of gold jewelry shops in this location such as the Sameh Samy Gold Store and the Amira Gold Store, the largest is perhaps Yasin Elish. Here, one finds a grand selection of all sorts of gold jewelry, much of which is adorned with diamonds. All of the items meet a very high standard of design. Here, Egyptian designed jewelry in 18-carat yellow gold sells for between235 Egyptian pounds, depending on the complexity of the design, and 21-carat yellow gold items normally sell for about 243 LE. Interestingly, 21-carat white gold sells for the same price as yellow gold. Form this information, we might summarize that the manufacturing price added to the gram cost in the El Sagha district should probably be no more than about 25 to 30 LE for 18-carat items, and no more than around 25 to 31 LE for 21-carat items. At Yasin Elish, there are several wonderful items, including an amazing yellow gold bracelets for 6,000 LE, and a much higher, though more complex one for 2,000 LE. Some of their gold jewelry is branded and may bring higher prices. There is a white gold Bullegery brand ring, which was popular with tourists, that cost about 4,000 LE, and there are Bullegery bracelets that range from 5,000 to 6,000 LE. One may also find a good selection of gold bracelets with Islamic design that range from about 4,000 to 6,000 LE, depending on their weight and design. At Yasin Elish, here it is the prices of diamonds. The purist diamonds sold are rated as H VVSI, a very high standard costing about 34 thousand Egyptian poiunds for one qirat (carat). A one qirat diamond rated as H VVS2 will sell for about 50 thousand Egyptian pounds. There are also a fantastic collection of white and yellow earnings that are sometimes complex, and sometimes simple. They have all sorts of necklaces with and without diamonds, rings, crosses, and various charms and pendants. It has one of the best variety of gold items in Gam’s Square. There is also the Ehab Mounir Store in Game’s Squre, which has a similarly large collection of gold items. For imported jewelry, the line of Lazordi gold, often in 24


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carat, is sold for 312 LE per gram. There are also other brands of Italian gold that are sold in a range from 322 to 332 Egyptian pounds per gram, but the Swiss gold is some of the purest and most valuable and that those lines sell for about 233 Egyptian pounds per gram. Ehab Mounir is famous for his collection of yellow gold bracelets that range from 4,000 to 8,000 LE. Nearby is a shop called Geneva, which displayed the nicest rings found in Game’ Square. The white gold bands can be as high as 330 LE per gram because of their intricate and unique designs. This shop also had a wide variety of yellow gold bracelets that are much simpler and yet more beautiful than the ones found in the El Sagha district. One shop in Game’ Square had a completely different style, it seems, than all the others, catering to buyers seeking very upscale and unique pieces of jewelry. This is the chain that originated in the UAE in 1907 and that grew into an international fashion jewelry network, known as Damas. Though rather expensive, they display a marvelous collection of jewelry. However, much of it is foreign made, which might defeat the purpose of buying gold jewelry in Egypt for tourists. A brand name such as Laurentia sells for 340 LE per gram, while Roberto Cento costs 321 LE per gram. One may like their white gold rings with small diamonds that sell for between 12 and 44 thousand Egyptian pounds. They also carry a wide selection of chains, bracelets and necklaces in very unique designs. White the El Sagha district and Game’ Square are well know among Egyptians for their gold jewelry, good stores are not limited to these areas, as most neighborhoods have at least two or three jewelry shops. Notably, Zamalek, known for its upscale neighborhoods, has several well known shops, particularly along Hassan Sabry Street. Here, a shop called Refaat specializes in yellow gold jewelry, with prices similar to those in the major gold centers. Along with a good selection of necklaces and bracelets, like many neighborhood shops, they also cater to local newlyweds with a good collection of engagement rings. On the other side of the same street is Bon Gout Jewelry, which specializes mainly in gold that contains diamonds. Opened in 1979, it is considered one of the best places to buy gold with diamonds, ranging in price from 44 thousand to 66 thousand Egyptian pounds for one Qirat, according to the purity. The shop offers a vast collection of beautiful earnings, rings and bracelets. Of course, there are many other jewelry shops in this great city of Cairo, with well known shops in such upscale neighborhoods of Mohandeseen and Maadi. However, for tourists, a visit to one of the jewelry centers such as El Sagha or Game’ Squre will probably be easiest. There shops are very reliable, but in the final analysis, one should note that Game’ Square has, perhaps, a reputation for more upscale jewelry at a good price, the El-Sagha district is known for some of the best pricing. In any event, Egypt is a great place to pick up some good, bargain gold jewelry while enjoying a tour a lifetime. The easiest way to compare bargains in Egypt is to analyze the prices, which are fairly fixed, for gold jewelry in Game’ Square. There, a typical price for 18-carat gold jewelry costs, between 250 and 270 LE per gram. Keeping it simple, this translates into 20.18 to 21.81 USD per gram for 18-carat gold jewelry, or around 22.15 USD for 21-carat yellow jewelry. The pure gold is selling on the markets at 813.90 USD per


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troy ounce. One troy ounce is equal to 31.1034807 grams, or 28.7373 USD per gram. Now for example, 18-carat gold is actually 18/24 pure gold, meaning that it is three quarters pure. It is often marked 750, meaning that it is 75% pure gold. Hence, the price for raw 18 carat gold on the market should theoretically sell for 18.80 USD per gram. Of course, in retail jewelry stores, it does not. Keep in mind that this is raw gold with no design factor included, and that 18-carat gold jewelry, for whatever reason, is selling under this amount as of this writing.


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Queen Nefertiti Pendant - 18K

Sale Price: $64.00

Scarab Pendant - 18K

Price: $157.00

Ankh Earring - 18K Price: $72.00

Lapis Queen Nefertiti - 18K Price: $106.00

18K Gold Rope chain - 18"

Price: $102.00 18K Gold Rope chain - 20"

Price: $116.00 Top of Form Bottom of For18K Gold Rope chain -

24" Price: $136.00

Pyramid Pendant - 18K

Price: $59.00

Lapis King TUT - 18K

Price: $106.00

Sterling silver Eye of Horus

Pendant Price: $7.50

Silver Ankh Pendant

Price: $7.95

Sterling Silver Ankh Earrings

Price: $12.50

Lapis & Silver Scarab Pendant

Price: $14.50

Sterling Silver Rope chain - 18" Price: $18.00




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9. Distribution Channels: The jewelries workshop in El Sagha, Khan el-Khalili have their own outlets of distribution in the same area. Most of jewelries shops are concentrated in Khan el-Khalili where wholesaler price could be obtained and bargains could be stroke. Also jewelries shops are existent all over Egypt everywhere in the form of small shops dealing with the final consumer within the framework of the controlled retail prices. Big factories prefer to create their own distribution channels by establishing their own shops and also as a part of their policy and strategy to expand their business volume they tend also to distribute their production to the other outlets either in El Sagha or the shops scattered here and there. Normal distribution channels are adopted in the Egyptian community for such procedures as products are imported and distributed as following:

- Form importers to the wholesalers who forward them to the retailers – merchandisers or shops- who sell them to the final consumers.

- From importers who have their own shops in which they display their products for wholesalers, retailers and final consumers, such as MM group.

- From importers to the wholesalers who have their own shops in which they display the products for retailers and final consumers.

- From wholesalers to the sellers scattered around in the open and popular markets especially for the low-class products to sell to the final consumers immediately such as Attaba and Moski markets.

In order to increase their business volume the big factories adopt specific promotion plans in the form of giveaways, quantity discounts, cash discounts, promotion activities and others for the wholesalers and importers. The small shops in turn adopt a similar promotion plans to increase their business volume especially after consumer flinched from purchasing jewelries in the same level due to the high prices. 10. Marketing Databases for gems and jewelry industries are available with the concerned government authorities. The Chamber of Gold, subordinate of Federation of Egyptian Industries (FEI ) provides the concerned manufacturers, importers or others with all the information necessary in such industry. Moreover the Commercial Representation launches introductory promotion campaigns in the foreign countries to introduce the Egyptian production to the outside world. 11. Consumer Behavior: In Egypt and in adherence with the Islamic teachings, it is entirely prohibited for men to wear gold items, subsequently using gold jewelries is restricted only to the Muslim women and for the other religions either males or females can use the gold, considering that Islam represents around 94% of the total population.


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For the consumers of the medium level and under, they’ve started to impose strict disciplines on the purchasing of jewelries due to the soaring prices during the last period where prices of jewelries have been doubled or more. For the consumers of the high level and above, they’ve started to find substitute for the gold jewelries in the form of diamonds in the aftermaths of hiking prices of gold jewelries which attributed to making their prices close to the diamonds prices which were a dream of every consumer. 12. Import Procedures & Regulations The same regulations applied to the other products imported or exported to and from Egypt are applicable for gems and jewelry. Also the same certificates required are applicable. No special regulations for gems and jewelry either for import or export. For gems and jewelry inspection certificate should be issued by the Department of Stamps and Weights after examining them. Tax system for import and export Customs duties for gems and jewelry ranges from 5-40% plus the 10% sales tax and 4% service surcharge. For the CIF invoice value, in case where customs officials suspect under-invoicing (under-evaluation), they usually add from 10 to 30% to the invoice of imports for customs valuation purposes. 13. Non-tariff Barriers: There’s no non-tariff barriers for gems and jewelry in Egypt except abiding by the requested specifications and regulations. 14. Industry Promotion & Development from Government & Private Sector: The Egyptian government keen enough to support the gems & jewelry industry in Egypt and they provide the operating companies and factories in this field with all of what they might need in terms of consultations, researches and directions if necessary. Specialized exhibitions organized in Egypt and abroad for the gems and jewelry are used to be one obvious aspect of the activities launched specially to enhance this industry. 15. Trend of Industry As indicated industry of gems and jewelry in Egypt has many shapes governed by the general insider taste and the outer demand. It ranges from the old style to the modern class style. Most of the manufacturers are concentrated in one district of Cairo called Khan El Khalili provided with all the necessary utilities required for the operating workshops overthere.


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16. List of Importers

1. El-Lakkani Mr.Amro M. El Lakkani - Chairman 43, Abdel Khalek Sarwat St., Cairo Tel : (202) 23916660 Fax : (202) 23928096 E-mail : [email protected]

2. INTL. Royal Gems Mr.Nagui Shawky - Chairman 45, Abdel Khalek Sarwat St., Cairo Tel : (202) 23937915 Fax : (202) 25914805 E-mail : [email protected]

3. Aminco Mr.Sabry Amin : Chairman

40 Mosadak st., Dokki Giza, Egypt. Tel : (202) 33385079 Fax : (202) 33363535 E-mail : [email protected]

4. Awlad Nagaty Jewelry Mr.Pelal Nagaty 60,90 El Sagha St., El Mosky , Cairo Tel & Fax : (202) 25887785 Product : Gems & Jewelry

5. Talaat Sergany Bijouttier Mr. Talaat El Sergany : Chairman 5 A, El Lselky St., New Maadi, Cairo. Tel: (202) 25169055 Fax : (202) 25169188 E-mail : [email protected]

6. Mohamed Kazem Jewelry Mohamed Kazem 15, Abdel Rahman El Rafee St.,

Mohandessin, Giza Tel : (202) 33378828 Fax : (202) 34538025 E-mail: [email protected]

7. San Gorg Import & Export Mr.Magdy Wadia General Manager 59, El Horia St., El- Mataria, Cairo. Tel & Fax : (202) 22501392 Mobile (20122) 3157398 E-mail : [email protected]

8. Diamon Inn Mohamed H.Abou El Soud : Chairman 43, Abd El Khalek Sarwat St., Cairo. Tel : (202) 23912158 Fax : (202) 29315980

9. Azza Fahmy Jewelry Mrs. Azza Fahmy : Chairman 20, Hussein Wassef St., Dokki Giza , Tel : (202) 38327122-3-4 E-mail : [email protected]

10. Joseph F. Botros Jewelry Mr. Joseph Botros - Chairman 16, El Makasis St., El Sagha, El Gamalia,

Cairo Tel : (202) 22416544 Fax : (202) 22417873 E-mail : [email protected]

11. Robeir Makram Co. Mr.Robeir Makram - Chairman El Bab El Talet El Sagha, Cairo Tel : (202) 25927440-2592216 Fax : (202) 25905521

12. Al Agati silver Co. Mr. Mokhtar - Chairman Add: 20, Fini St., Dokki, Cairo Egypt Tel : (202) 33351066 Fax : (202)33359769

13. Arabian Trading Co. 18, El Khalifa El Mamoun St., Heliopolis

, Cairo Tel : (202) 24501901-2 Fax : (202) 24501903

14. East Trading Corporation Contact Person : Mr.Omar Tawfik 54, Dr.Ahmad Zaki st., El Gadida , Cairo Tel : (202) 22975215-22975225-22975235 Fax : (202) 22999444

15. Hassan Abdel Salam 106, El Nile St., Dokki Giza , Cairo Egypt Tel : (202) 37499119-37499129 Fax : (202) 33360078

16. Hassan Elaish Jewelry 8, Seket El Badesteen , Khan El Khalili,

Cairo Tel : (202) 25901462-25927205 Fax : (202) 25901462-25927205


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17. Jewelry Ali Khorrossany 78, El Nile St., Aboul Fotouh Buld. Giza,

Cairo Tel : (202) 33383118 Fax : (202) 35246201

18. Refaat Jewelry 7, Zamalek Club Shop 19 Center, Egypt Tel : (202) 23470730 Fax : (202) 23042343

19. Wadi El Neel Int’l Exp. & Imp. Mr. Mohamed Hefni : Chairman 380,

Cornich El Neel, st., F 8 Apt.5 Gahowaret El Maadi Tower, Cairo

Tel : (202) 25256617 Fax : (202) 25272322 E-mail : [email protected]

20. Salah Abdel Hady jewelry Zamalek Club, Gamet El Dowal El

Arabia St., Mohandessin, Giza Tel : (202) 33471050-33465641 Fax : (202) 33029415

21. Friend Export & Import Mr. Yasser El Sharawy : Chairman 80, Moez El Dowla St., Makram Ebid, Nasr

City, Cairo Tel : (202) 22748261 Fax : (202) 24053170 E-mail : [email protected]

22. New Star Tours Ms. Marian Magdy : Tour Operator 71,

Gameat El Dewal El Arabia St, Mohandessin, Giza,

Tel : (202) 37610926, 33362604 Fax : (202) 33386327 E-mail: [email protected] Website: www.new-star-tours.com

23. Samir Nasief Meniawy Mr. Samir Nasif : Manager 6, Souk El Sayaref El Saghir El Sagha,

Gamalia, Cairo Tel & Fax : (202) 25916630 E-mail [email protected]

24. Milano Office Import & Export Mr. Magdy Naguib Karas : Manager 17, 18, Kasr El Shook St, Cairo. Tel : (202) 22677826 Fax : (202) 25897635 E-mail: [email protected]

25. Tiba Import & Export Mr. Abd El Raheem - Manager 17, Mohamed Tawfik Wahpy St, Nasr

City, Cairo. Tel : (202) 22741119, (20100) 5057379 Fax : (202) 22744207

26. Hassan Hadad Jewelry Mr. Hassan Hadad : Manager 83, El Manial St, Cairo, Egypt Tel : (202) 33645444 Fax: (202) 35318516

27. Nasr Abdel Aziz Ibrahim Mr. Nasr Abdel Aziz: Manager 12, El Seel St, Heliopolis, Cairo Tel : (202) 24521884 Fax: (202) 25934070

28. 3M For Import Mr. Maycel Rafar John : Manager Tel: (202) 26742766 (20122) 2426808 Fax: (202) 26742766 E-mail: [email protected]

29. Bon Marché Mr. Mostafa Refaat : Chairman 5, Kaboul St, Nasr City, Cairo, Egypt Tel:(2010) 26112211 - 22747728 Fax: (202) 22750673 E-mail: [email protected]

30. Nile Group For Trade Investment Mr. Amr El Tahawy - Managing Director

38, Al Nasr St, Maadi Teba Center, New Maadi, Cairo

Tel : (202) 25200770, 25200790 Fax: (202) 25200780 E-mail: [email protected]


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17. List of Gems & Jewelry organization or Association: Department of Gold Chamber of Metallurgical Industries Federation of Egyptian Industries (FEI) Eng. Rafae Abbass – Chairman 1195 Cornish El Nile – Cairo Te.: (202) 25939588 Fax: (202) 25937297

Documents

Gems & Jewlery Report - DITPditp.go.th/files/Jewlery.pdf · Synthetic or reconstructed precious or semi-precious stones. Dust and powder of natural or synthetic precious or semi precious