Korea is poised to stimulate the market for solid gold rings as the popularity of the traditional first-birthday gift has slackened in the face of skyrocketing commodities prices, the Ministry of Knowledge Economy said Tuesday.
Gold prices per “don,” a Korean measure equivalent to 3.75 grams, have surged more than four-fold in six years to roughly 230,000 won ($213), the ministry said in a statement. Faced with a recent global slump and mounting inflationary pressures, the market for solid gold rings has stagnated further.
A woman at a jeweler in downtown Seoul compares rings that contain one gram of gold and 3.75 grams Tuesday. (Yonhap News)
In efforts to renew customer sentiment, the ministry drew up a plan to sell rings that contain one gram of solid gold, less than the typical 3.75 grams thus cheaper, through local jeweler’s associations.
Customers will be able to buy the rings for 60,000 won each at about 2,600 local jewelers and department stores starting next month, the ministry said.
“The government is expecting the one-gram gold rings not only to boost the sagging gold ring market but also help settle the use of standard measures like gram instead of don, which is non-standard,” the ministry said.
As part of its standardization drive, the ministry launched rings with two grams, three grams and four grams of pure gold in 2008. In May, it distributed molds for the new one-gram rings to jewelers’ organizations in six metropolitan cities including Seoul, Busan and Gwangju.
The Korean Agency for Technology and Standards is also outlining policies to prevent irregularities involving a lack of purity and establish a fair business culture, the ministry added.
By Shin Hyon-hee (
heeshin@heraldcorp.com)