KUALA LUMPUR: The Malaysia Gold Association (MGA) has called for an immediate ban on the importation, production, and sale of “gold-wrapped silver” and similar gold-wrapped items, citing their potential to undermine the credibility of the country’s precious metals industry.
In a statement, MGA highlighted that these products, which feature a gold layer over non-gold cores, pose a threat to the integrity of the local gold market. Their influx, the association warned, could lead to price discrepancies, distort genuine gold demand, and disrupt the overall stability of the precious metals trade.
The association noted that the deceptive appearance of such items, which often mimic genuine gold jewellery due to their thick gold plating, makes it difficult for consumers to differentiate them from authentic gold without expert analysis.
“This confusion creates a significant risk of financial losses for buyers who may mistakenly believe they are purchasing genuine gold,” the MGA explained.
Industry and Enforcement Action Needed
MGA president Dato Wira Louis Ng Chun Hau has urged all stakeholders, including manufacturers, importers, retailers, distributors, and enforcement agencies, to classify these products as counterfeit gold and to prohibit their sale.
“We strongly appeal to Malaysian authorities, including the Customs Department and the Ministry of Domestic Trade and Cost of Living, to implement stricter rules to prevent the circulation of these misleading items, both in physical stores and on e-commerce platforms,” Ng stated.
He further emphasized the need for robust enforcement measures to protect consumer interests and uphold the credibility of the gold market.
Unified Industry Stance
The MGA also announced that following extensive discussions with industry representatives—including manufacturers, retailers, pawnbrokers, Ar-Rahnu operators, and other key stakeholders—it had reached a consensus to oppose the distribution of gold-wrapped products in Malaysia.
“This collective commitment ensures that manufacturers will cease producing these items, while retailers and distributors will refrain from offering them for sale,” the statement affirmed.
The MGA reiterated its dedication to maintaining the highest standards in the precious metals industry, ensuring that consumers and businesses alike can continue to trust the integrity of gold products available in Malaysia.
The association’s call to action represents a pivotal step in safeguarding the local gold market and protecting consumers from deceptive practices.