Making Charges Explained: Your Guide to Gold Jewellery Pricing

When you invest in a beautiful piece of gold jewellery, whether for a special occasion or as a daily adornment, understanding its true cost goes beyond just the gold itself. Here in Dubai, a global hub for exquisite jewellery, transparency is key. At ZIYO, we believe in empowering our customers with clear, straightforward information, especially when it comes to the components that make up the final price of your chosen piece. Today, we're demystifying ‘making charges’ – what they are, why they’re applied, and how they contribute to the unparalleled beauty and craftsmanship you receive.

For many, the mention of ‘making charges’ or ‘wastage’ can seem opaque. Our aim is to shed light on these terms, ensuring you feel confident and informed with every ZIYO purchase. After all, choosing a delicate piece from our Solaire collection or a sophisticated design from our Lunaire range should be an experience marked by clarity and delight.

The Intricacies of Gold Jewellery Pricing

The price you pay for a piece of gold jewellery is typically comprised of several key elements:

1. The Gold Rate: This is the market value of the pure gold content in your jewellery.
2. Making Charges: The cost associated with crafting the piece.
3. Wastage (Optional/Included): A factor for gold loss during the manufacturing process.
4. Gemstone Costs: If your jewellery includes diamonds or other stones.
5. Value Added Tax (VAT): The government-mandated tax.

Let's delve into each component, focusing on the often-misunderstood making charges and wastage.

Understanding the Gold Rate

The price of gold fluctuates daily, driven by global economic factors. In Dubai, the Dubai Jewellery Group sets official rates, which are widely referenced. For today, Monday, 07 September 2026, the official Dubai Jewellery Group gold rates are:

• 24KT Gold: AED 542.60 per gram
• 22KT Gold: AED 497.51 per gram
• 18KT Gold: AED 407.35 per gram
• 14KT Gold: AED 317.74 per gram

These rates represent the raw material cost. You can always check the latest live rates on our website at ziyo.co/gold-rate.

When you purchase an 18KT gold necklace, for instance, the gold component of its price is calculated by multiplying its weight by the 18KT gold rate for that day. It's crucial to remember that 18KT gold contains 75% pure gold, with the remaining 25% being other alloys added to enhance durability, colour, and workability. Similarly, 14KT gold contains 58.3% pure gold.

Making Charges: The Artistry Behind the Price

Making charges, often referred to as 'labour charges' or 'craftsmanship charges', are the cost of transforming raw gold into a finished piece of jewellery. This isn't just a simple fee; it accounts for the skill, time, and effort invested by expert artisans. From intricate filigree work to delicate settings for diamonds, every step requires precision and artistry.

At ZIYO, we specialise in lightweight, delicate collections. Crafting these pieces often demands even greater precision than heavier, more robust designs. Our artisans meticulously shape, polish, and finish each item, ensuring every detail meets our exacting standards. This process includes:

• Design and Moulding: Creating the initial design and the mould for casting.
• Casting and Shaping: Pouring molten gold into moulds and then shaping it further.
• Filing and Polishing: Smoothing out imperfections and achieving that brilliant shine.
• Stone Setting: Carefully embedding natural or lab-grown diamonds.
• Finishing Touches: Ensuring clasps are secure, and the piece is ready for certification.

Making charges can be calculated in various ways: a percentage of the gold value, a flat rate per gram, or a fixed price per piece, especially for intricate designs. At ZIYO, for our gold jewellery, we apply a transparent making charge of AED 100 per gram. This flat rate simplifies understanding and provides clarity for our customers.

Wastage: An Inherent Part of the Craft

Wastage refers to the small amount of gold that is inevitably lost during the jewellery manufacturing process. When gold is cut, filed, polished, or melted, tiny particles can escape or be removed. While much of this 'dust' can be recovered and refined, a small percentage is generally considered unrecoverable or economically impractical to retrieve.

Historically, wastage was often added as a separate percentage (e.g., 5-10%) on top of the gold weight. However, many modern jewellers, including ZIYO, now integrate this into the making charge or the overall per-gram pricing structure to offer a simpler, more predictable cost. Our making charge of AED 100 per gram for gold implicitly covers any negligible wastage associated with crafting our delicate pieces, meaning you won't see an additional 'wastage' line item on your bill.

For our Lunaire collection, which features 18KT-plated 925 sterling silver, the pricing is even more straightforward. We offer our silver pieces at a transparent AED 80 per gram inclusive, meaning this price already covers the silver's material cost, the labour for crafting, and the 18KT plating process. There are no separate making charges or wastage calculations for Lunaire pieces.

The Cost of Diamonds

For jewellery featuring diamonds, this cost is added separately. At ZIYO, we offer both exquisite natural diamonds and ethical lab-grown diamonds, all certified by IGI (International Gemological Institute).

• Lab-grown Diamonds: Approximately AED 1,500 per carat.
• Natural Diamonds: Approximately AED 3,000 per carat.

The exact price per carat can vary based on the diamond's cut, clarity, and colour, but these figures provide a clear indication of our competitive pricing.

Value Added Tax (VAT)

In the UAE, a 5% VAT is applied to the total value of the jewellery – this includes the gold's market price, making charges, and any gemstone costs. This is a government mandate and is applied universally across all jewellery purchases.

Bringing It All Together: A Price Breakdown Example

Let's illustrate with an example for a 3-gram, 18KT gold delicate pendant with a 0.10-carat lab-grown diamond, purchased today (Monday, 07 September 2026):

Component	Calculation	Cost (AED)
Gold Value (18KT)	3 grams x AED 407.35/gram	1,222.05
Making Charges	3 grams x AED 100/gram	300.00
Diamond Cost (0.10 carat lab-grown)	0.10 carat x AED 1,500/carat	150.00
Subtotal		1,672.05
VAT (5%)	5% of AED 1,672.05	83.60
Total Price		1,755.65

This table clearly shows how each element contributes to the final price, allowing you to see exactly what you are paying for when you choose a ZIYO piece.

Why ZIYO's Approach Matters

We understand that purchasing jewellery is a significant decision. Our commitment to transparent pricing, combined with our dedication to offering only lightweight, delicate designs, ensures you receive exceptional value without compromising on quality or style. All our gold jewellery is hallmarked DCL 916, signifying its purity and authenticity, and our silver pieces bear the 925 mark.

We also offer flexible payment options, including Tabby and Tamara interest-free instalments, and ensure secure, insured delivery across the UAE. Should you dream of a piece truly unique to you, explore our custom design services, where our team can bring your vision to life.

Next time you're comparing jewellery, remember that making charges aren't just an extra cost; they represent the heart and soul – the craftsmanship – that turns raw gold into a wearable work of art. At ZIYO, we celebrate this artistry, ensuring every piece reflects both quality and transparent value.

Frequently Asked Questions

What is the difference between 14KT and 18KT gold?

The 'KT' or 'karat' refers to the purity of the gold. 24KT is 100% pure gold. 18KT gold contains 75% pure gold (18 parts gold, 6 parts other metals), making it more durable and commonly used for jewellery, especially in warmer climates like Dubai where pure gold can be too soft. 14KT gold contains 58.3% pure gold (14 parts gold, 10 parts other metals), offering even greater durability and a slightly different hue, often at a more accessible price point.

How do I know the diamonds are real and ethical?

At ZIYO, we ensure the authenticity and quality of all our diamonds through third-party certification. All our natural and lab-grown diamonds come with an IGI (International Gemological Institute) certificate. This certification provides detailed information about the diamond's characteristics (cut, colour, clarity, carat weight) and confirms its origin (natural or lab-grown), assuring you of its quality and ethical sourcing.

Can I pay for my jewellery in instalments?

Yes, ZIYO offers convenient interest-free instalment plans through Tabby and Tamara. These options allow you to spread the cost of your purchase over several payments, making fine jewellery more accessible. Simply select Tabby or Tamara at checkout on our website to see the available instalment options for your purchase.