Second October Cut Leaves Domestic Gold Prices Slightly Lower for Buyers

The domestic gold market in Bangladesh registered another modest easing on Thursday after the Bangladesh Jewellers Association announced a fresh reduction in retail rates. The widely tracked 22-carat category was lowered by Tk 1,691 per bhori, setting the new price at Tk 226,340. The change took effect from Thursday morning and marked the second downward adjustment of the month.Earlier, on 13 October, the association had reduced the same grade by Tk 3,266 per bhori. The successive cuts reflect softer conditions in the local pure-gold bullion market rather than a sharp shift in global benchmarks. Under the revised structure, hallmarked 22-carat gold is now available at roughly Tk 19,405 per gram once value-added tax is included.

Parallel reductions applied across other grades. Twenty-one-carat gold fell by Tk 1,575 to Tk 216,192 per bhori, while 18-carat gold declined by Tk 1,690 to Tk 185,691 per bhori. Gold sold through the traditional method also moved lower, dropping Tk 1,108 to Tk 151,690 per bhori. Jewellers described the adjustments as routine responses to prevailing bullion prices and wider macroeconomic conditions inside the country.

For ordinary households the latest cut offers limited but tangible relief after a prolonged period of elevated rates. Many families had postponed jewellery purchases for weddings and festivals because prices remained high relative to incomes. Retailers now hope the lower levels will encourage some of those deferred buyers to return, particularly as the winter wedding season approaches. Demand, however, continues to depend heavily on disposable income and competing pressures from food and utility costs.

Shop owners report that customer inquiries have increased since the announcement, though actual sales volumes remain cautious. Some jewellers have begun offering small promotional discounts on making charges to convert interest into purchases. Others are waiting to see whether the downward movement continues or stabilises before adjusting inventory strategies. Larger traders note that the frequency of price revisions this month has made short-term planning more difficult, as buyers often delay decisions in the hope of further declines.

The association has indicated that future rate changes will continue to track movements in the local bullion market. Analysts watching the sector point out that domestic gold prices in Bangladesh are influenced not only by international spot rates but also by local supply conditions, import costs, currency movements and overall liquidity in the economy. When pure gold becomes cheaper in the bullion market, retail associations typically pass on at least part of the reduction to maintain competitiveness and support turnover.

Looking ahead, market participants expect the next few weeks to be important for gauging genuine demand response. If the lower prices hold and household confidence improves even slightly, jewellery sales could see a modest pickup. Conversely, if broader economic uncertainty persists or if bullion prices rebound quickly, the recent cuts may prove short-lived. For now, the second reduction of October has at least narrowed the gap between what many buyers are willing to pay and the rates currently displayed in jewellery shops across the country.