Gold Prices Reach Record Highs; Dozens of Jewelry Factories Shut in Karachi

Karachi: The soaring prices of gold have led to the closure of dozens of jewelry factories in Karachi, leaving the city’s gold markets in silence. Goldsmiths, unable to keep up with the escalating prices, are now sitting idle with many worried about the future of their livelihoods.
With gold prices reaching record levels, various jewelry manufacturing units across Karachi have been forced to shut down. Areas such as Liaquatabad, Kharadar, Saddar, and Karimabad, known for their bustling jewelry workshops, have seen a drastic reduction in activity, resulting in severe unemployment for artisans and jewelers.
Fareed Ahmed, a 72-year-old goldsmith who has been working in the field for over 60 years, expressed his concerns about the situation. “There used to be a lot of work here day and night, but now, one by one, factories are shutting down,” he said. “If I lose my job now, how will I feed my family in my old age?”
The ongoing economic downturn in the jewelry industry has left many artisans and jewelers struggling. Despite the wedding season being in full swing, gold sales have not shown significant improvement. “People are selling small jewelry pieces just to get by,” said another goldsmith. “Our income has drastically decreased.”
The rise in gold prices has not only affected ordinary citizens but has also impacted business owners. In January 2025, the price of gold per tola (11.66 grams) was Rs. 233,711, but it has since soared to Rs. 272,600, further crippling the already struggling industry.
This sharp increase in gold prices has caused widespread concern, with many fearing that if the trend continues, the entire jewelry sector may face a complete collapse.