HK gold retailers overwhelmed by mainland shoppers

http://www.china.org.cn/business/2013-05/02/content_28708417.htm

China Daily, May 2, 2013

Hong Kong retailers report they were swamped over the three-day May Day holiday by tens of thousands of mainlanders in search of one thing: cheap gold.

After the recent slump in gold prices, Hong Kong's already healthy community of gold shops, mainly in its traditional tourist areas, has increased, with a flurry of new openings. But traders report they have been overwhelmed by the mainland shoppers.

Gold prices in Hong Kong are lower than in the mainland.

On Wednesday in Causeway Bay there were long queues outside shops, which blocked the popular shopping area's narrow streets and sidewalks.

"It's cheap, so what else do you need to know?" said Wang Zhongxin, a shopper from Shanghai as he left one Chow Tai Fook outlet.

He had spent around 30,000 yuan ($4,760), or twice the monthly average wage in Hong Kong, on three gold necklaces and a couple of rings. He said he wanted to buy bullion, but they had already sold out.