Pakistan’s bullion market is facing growing uncertainty after official gold and silver price updates came to a halt nationwide, amid an ongoing strike by jewellers protesting what they describe as excessive taxation and undue pressure from the Federal Board of Revenue (FBR).
According to industry sources, jewellers have suspended their regular market reporting activities, which are essential for determining and publishing official gold and silver rates across the country. The move has disrupted the normal functioning of the bullion market and created confusion among traders and investors.
Since Tuesday, jewellery businesses in major commercial centers, including Karachi, Lahore, and other cities, have largely remained closed as part of a coordinated nationwide strike. Both small-scale retailers and major dealers have joined the protest.
As a consequence, the official daily announcement of bullion rates has been suspended. While some unofficial sources continue to share precious metal prices, these figures are not recognized by the country’s main sarafa markets and therefore do not qualify as official rates.
Industry representatives say the jewellery sector currently contributes approximately Rs. 22 billion annually in taxes and has even proposed increasing that contribution to Rs. 44 billion. However, they maintain that the FBR’s current tax demands are unreasonable and have vowed to continue their protest unless authorities reconsider their approach.
The standoff has effectively frozen gold and silver pricing in the local market, with no official updates recorded since Monday.
Before the strike began, gold prices had witnessed a significant increase. Data from the All Pakistan Sarafa Gems and Jewellers Association showed that the price of gold per tola rose by Rs. 10,800, reaching Rs. 455,136 on Monday. Similarly, the price of 10 grams of gold increased by Rs. 9,720 to settle at Rs. 389,600.
Silver trading has also been affected, with the last recorded official rate standing at Rs. 7,509 per tola before market reporting was suspended.
Market observers warn that if the deadlock between jewellers and the FBR continues for an extended period, it could further disrupt price discovery mechanisms, create uncertainty for investors, and negatively impact confidence in Pakistan’s bullion market.
