HANOI(BullionStreet): Non SJC gold producers in Vietnam are producing more gold rings after stopping production of gold bars as the deadline for tightened rules on bullion trading approaches.

Many gold traders in Vietnam are unable to meet new requirements for selling gold bars, as per the norms set by country's central bank, and switching to gold rings that are placed in plastic packaging to avoid being forced out of the business.

Analysts said the gold ring, as a jewelry item have been very popular in Vietnam, and for savings purposes, people usually choose to go with gold bars.

Analysts said the move by other producers is a desperate effort to stay in the business and considering recent developments in the market, it is a good strategy to push for gold jewelry in general, rings in particular.

Gold traders and manufacturers are trying hard to survive and considering recent developments in the market, it is a good strategy to push for gold jewelry in general, rings in particular, they added.

From February 10 next year, gold bar traders are required to show a registered capital of at least VND100 billion (US$4.8 million), a minimum tax payment of VND500 million, and a presence in at least three provinces or major cities.