The value of gold jewelry export from Malaysia is projected to surpass the RM6 billion mark this year as the US Federal Reserve plans to raise interest rates, a move that would soften gold prices and spur gold jewelry consumption.

The export value of Malaysian gold jewelry hit around RM5.1 billion in the January-November 2021 period, a figure exceeding the RM4.1 billion achieved for the entire year of 2020.

Experts in the trade contend that the gold jewelry export value should hit around RM5.5 billion to RM6 billion in 2021 and the gold jewelry export value in 2022 should improve by at least 20 percent over 2021 when gold prices soften.

It is also expected that pent-up demand and weddings will also drive up the consumption this year.

In the year 2021, although the average price of gold was around RM7,542 per ounce, the consumption of gold jewelry surged.

According to Matrade statistics, the top buying countries of Malaysian gold jewelry products for last year were Singapore, the United Arab Emirates, Thailand, Japan and Hong Kong.

Last year also, Malaysia imported RM4.5 billion worth of gold jewelry products compared to RM3.5 billion recorded for the entire year of 2020.

-THE MALAYSIA VOICE