Why are diamonds and gold so cheap in Dubai?
Like the other answerers mentioned already, Dubai is a taxfree country, but that’s not the main reason. The gold price is the same worldwide. The reason that many jeweleries here are so cheap, is the low labor costs. To produce jeweleries in India, Pakistan and China is much cheaper than in Europe or USA and also the salaries of the sales persons selling these items is extremly lower than in the West. All the costs beside the material are here much lower. To compare the price you would have to compare exactly the same items/quality/carat. If you bought “extremly” cheap diamonds, I hope you bought them in a regular jewellery store and have a certificate.
