Shopkeepers told Arab News that the price of a gram of gold is increasing almost everyday, which is pushing people to sell their used gold for as high as SR143. Shopkeepers now sell gold for up to SR173.

According to Ali, who works for retailer Al-Rumaizan, pilgrims approach them to exchange their gold and tend to go for less expensive pieces, including rings, necklaces and earrings. “We tend to advise factories to provide us with products that look heavy but are actually light.”

In Sitteen Street’s Al-Yamama market, more commonly known as the market of gold, pilgrims from various countries were touring gold shops, whereas a few months ago the market was relatively empty with shopkeepers standing outside their shops smoking or having a cup of tea.

Gabil Street in downtown Balad, where a large number of gold shops are located, also attracts scores of pilgrims. Al-Saylani gold store converted one of its three stores to sell silver and precious stones after recognizing its prices were more reasonable compared to gold, with one gram costing SR8 to SR15. “The gold shop owners started to vary their investment practices a couple of years ago, knowing that gold prices had started rising,” said Abdul Razaq, who has been trading in the gold market for 30 years. “Some shifted to real estate, while others sell gold and silver at the same time. Gold trading is always better in the western region as you will always have a season of demand especially from pilgrims.”

The second choice that less privileged pilgrims have is silver, which is now selling very well. “We have our loyal customers who come every year either in the Haj or Umrah season and they buy silver and stones in bulk to sell on back home. Most of them are from Africa,” said Ahmad, a Yemeni shopkeeper working on Gabil Street. The man in charge of the precious stones market, Karim Al-Onizi, told a local daily that the prices of gold would increase by 10 percent in the next few days.