Baghdad Chamber of Commerce urges regulation of gold industry

BAGHDAD – The Baghdad Chamber of Commerce has criticized the government for neglecting to regulate the gold industry, citing challenges faced by goldsmiths due to unclear import and export standards. Officials have also raised alarm over smuggling driven by price differences with neighboring countries.

Goldsmiths are struggling with the lack of clear regulations and standards for importing and exporting gold, Salah Al-Shami, head of the Chamber’s Industry Committee stated in an interview on Iraq24 TV. He added that the Customs Authority has denied receiving any formal instructions on regulating the sector. Al-Shami highlighted that the significant price difference between gold in Iraq and Turkey—offering a profit margin of up to $2,500 per kilogram—has fueled illegal smuggling activities.

The Chamber has called for the establishment of a union or syndicate for goldsmiths to streamline the industry, facilitate oversight by security agencies, and resolve the overlapping jurisdictions that currently hinder effective monitoring.

Some excerpts of Salah Al-Shami’s interview on Iraq24 TV:

The government has left the goldsmithing sector unregulated for years, with no union or syndicate to oversee its activities. As a result, the Baghdad Chamber of Commerce has formed a committee to handle these responsibilities, hoping to expand its role to that of a syndicate or union in the future.

We are calling for direct meetings with security agencies to understand the regulations required of goldsmiths and to identify the specific agency responsible for overseeing the sector. Currently, each security body has different and often conflicting standards, creating significant confusion and disruption in the industry.

There are approximately 15,000 goldsmiths in Iraq, most of whom are peaceful individuals who “avoid trouble.” However, a small number of outsiders have tarnished the profession’s reputation. Trade secrets have become widely accessible, allowing anyone with sufficient capital to open a goldsmithing shop easily after obtaining a license.

The recent gold smuggling case at Baghdad Airport involved only two suspects—one from Al-Rasheed Street in Baghdad and another from a northern province. The smuggling attempt was reportedly aimed at reaching Turkey, where gold prices are $2,500 per kilogram higher than in Iraq, which adheres to global market rates. This significant price difference incentivizes smuggling for profit, though most goldsmiths comply with legal and ethical standards.

There is legal ambiguity surrounding our operations. The Customs Authority explicitly stated that they have yet to receive specific regulations governing the sector, and the same applies to the Anti-Money Laundering Office. We, therefore, demand a workshop with relevant authorities to clarify the rules and guidelines for our work.