Gold Rate Today in India

Updated on 28 May, 2024
73779+599.00
24 Carat Gold Rate (10 grams)
67582+548.00
22 Carat Gold Rate (10 grams)

India is world’s second biggest consumer of gold, after China. Bulk of the gold requirement is met through imports and domestic bullion recycled locally. So apart from international prices, which is denominated in dollar, import duties and other taxes play a role in determining domestic gold rates. Bullion is seen as a hedge against inflation but bond yields and the dollar rate also have a bearing on the prices of the precious metal. Here are latest gold prices in major Indian cities.

Why is gold so precious in India?

Gold is considered a precious metal in India and around the world for a number of reasons:

Rarity: Gold is relatively rare, and it is estimated that all of the gold that has ever been mined would fit into a single cube that is about 21 meters on each side. This rarity contributes to its value.

Durability: Gold is a very durable metal and does not corrode or tarnish, which means it can be stored and preserved for long periods of time without degrading.

Malleability: Gold is very malleable, which means it can be easily shaped into a variety of forms. This makes it a popular choice for jewelry and other decorative items.

Use in industry: Gold has a number of industrial uses, including in electronics, dentistry, and aerospace

Cultural and historical significance: Gold has a long history of being associated with wealth and luxury, and it has played a significant role in many cultures around the world. In India, gold has a particularly strong cultural and religious significance and is often given as a gift at weddings and other special occasions.

Things to take care of while buying gold

Here are some things to consider when buying gold:

Quality and purity: It is important to ensure that the gold you are buying is of good quality and has the purity level that is advertised. You can check the purity of gold using a gold testing kit or by having it tested at a government-approved assayer.

Reputation of the seller: It is always a good idea to deal with reputable sellers when buying gold. You can ask for recommendations from friends or family, or do some research online to find a reputable seller.

Price: Gold prices can vary, so it is a good idea to shop around and compare prices at different sellers before making a purchase.

Return policy: It is always a good idea to find out the return policy of the seller in case you need to return or exchange the gold.

Certification: Consider purchasing gold that has been certified by a reputable organization, such as the Bureau of Indian Standards (BIS), to ensure its quality and purity.

How to test purity of gold?

There are several ways to test the purity of gold, each with its own set of advantages and limitations. One of the simplest methods is using a magnet. If the gold is impure, it is likely to contain metal alloys, which can cause the ornament to be attracted to a magnet. This method, however, is not foolproof and can only provide a rough indication of the purity of the metal.

Another popular method for testing gold purity is the acid test. This method involves using a specific type of acid and a touchstone to create a streak on the metal. This method is widely used and considered reliable, but it does require some skill and experience to perform accurately.

With the advancement of technology, today there are very sophisticated karat checking machines available in the market. These machines are imported by the large jewelers in the country and provide precise and accurate measurements of the gold's karat value. This is considered the most reliable method of testing gold purity.

When testing gold in Delhi it is recommended to use the authorized BIS centers which are certified and you can be assured of at least some purity of the metal. These centers are equipped with the latest technology to test gold, but in smaller towns, there may not be any such centers available. In such cases, you may have to rely on private centers with state-of-the-art machines to check the purity of gold.

Why do prices of gold and silver differ in different cities of the country?

The price of gold and silver in different cities in India is influenced by a combination of local and global factors, including transportation costs, local taxes, market conditions, economic conditions, and currency values.

Transportation costs: The cost of transporting gold and silver from one city to another can affect the price. If transportation costs are high, this can lead to higher prices for gold in the city it is being transported to.

Local taxes: Different cities may have different tax rates, which can affect the price of gold. For example, if a city has a higher tax rate on gold or silver purchases, the price of gold may be higher in that city compared to a city with a lower tax rate.

Market conditions: The supply and demand for gold in different cities can also vary, which can affect its price. If demand for gold or silver is high in a particular city, this can drive up its price.

Economic conditions: The economic conditions of a city can also impact the price of gold. If a city has a strong economy, demand for gold or silver may be lower, leading to lower prices.

Currency values: As mentioned earlier, gold and silver is priced in U.S. dollars, so changes in the value of the U.S. dollar can affect gold and silver prices. If the U.S. dollar weakens, gold or silver may become more expensive for buyers using other currencies.

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Gold Rate in Metro Cities 28 May,2024

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    Gold Rate in Different Cities in India

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    Gold Rate for Last 15 Days

    • Dates

    • 22 Carat Price

    • 24 Carat Price

    • May 27, 2024
    • 67034 -66.00
    • 73180 -72.00
    • May 26, 2024
    • 67100 -395.00
    • 73252 -433.00
    • May 25, 2024
    • 67495 -815.00
    • 73685 -889.00
    • May 24, 2024
    • 68310 -904.00
    • 74574 -988.00
    • May 23, 2024
    • 69214 -941.00
    • 75562 -1027.00
    • May 22, 2024
    • 70155 1390.00
    • 76589 1518.00
    • May 21, 2024
    • 68765 0.00
    • 75071 0.00
    • May 20, 2024
    • 68765 -269.00
    • 75071 -293.00
    • May 19, 2024
    • 69034 -336.00
    • 75364 -367.00
    • May 18, 2024
    • 69370 554.00
    • 75731 604.00
    • May 17, 2024
    • 68816 805.00
    • 75127 880.00
    • May 16, 2024
    • 68011 -302.00
    • 74247 -330.00
    • May 15, 2024
    • 68313 889.00
    • 74577 970.00
    • May 14, 2024
    • 67424 -454.00
    • 73607 -496.00

    Gold as an asset

    Throughout the course of history gold has been the most fascinating metal resource across the globe. Wherever on earth human civilizations chanced upon the shining substance, they treasured it like something either sacred or supernatural. For the Inca and other peoples of the Andean region of South America, gold was the "sweat of the sun," the most sacred of all deities. It was the ‘Gold Rush’ of the mid 19th century that led to the development of western coast of the US which was earlier primarily populated towards the eastern coast.

    As far as demand for gold is concerned, India has been the largest consumer of gold, only to be overtaken by China in the last couple of years. The origins of the use of gold in India go as far back as the Indus Valley civilisation.

    Over the centuries, gold, the only corrosion-resistant metal—a quality that makes it timeless—has come to be associated with purity. And in India, the land of spirituality and rich religious traditions, the purest has always been reserved for the divine.

    Apart from its spirituality and divinity, gold is most significant in the contemporary era for its economic might. Gold is a universal liquidity standard making it the most sought after precious substance in the world.

    Here are some facts you must know about the precious metal that is the yardstick of purity and luster throughout the world.

    Factors determining domestic gold prices

    Gold prices differ from country to country, state to state, city to city and even at times from one retail store to another. There are diverse factors that determine the price of gold and all these factors are dynamic, interdependent and complex in the ways they play out in the market.

    There is a change in the price of gold on an everyday basis because of the interplay of following determinants:

    - London Bullion Market’s Spot price

    - Bank transaction charges on Gold imports

    - Custom Duty

    - Market trends and government regulation in India

    - Local taxes

    - Making and wastage charges

    Gold Bullion

    Bullion is the term for gold and silver that are regarded as being in their natural, unprocessed state. Bullion is typically traded on commodity exchanges, where its value is determined by its weight and the price of the precious metal it contains at the time.

    Bullion is a well-liked investment choice in India and is heavily traded on the nation's commodity markets. Bullion is in high demand due to its perceived value as a safe haven investment and its use in the jewelry sector.

    In order to support the nation's economy and currency, the Indian government also keeps a strategic reserve of gold bullion.

    Purity of Gold

    There are two ways to indicate the purity of gold: Karat (denoted as KT) and the other is fineness number.

    When purity of gold is measured in Karat, 24KT is considered the purest form of gold. But 24KT gold is considered too soft to be converted into any jewelry or ornament. Therefore, certain other metals such as silver and zinc are added to gold to convert it into jewelry.

    Fineness number measures the purity of gold as parts per thousand. According to the World Gold Council website, 24KT should be 1.0, i.e., 24/24, but there is likely to be slight impurities in gold and can only be refined to a fineness level of 999.9 parts per thousand.

    The government body called Bureau of Indian Standards (BIS) certifies the purity of gold. The process of certifying the purity of gold is called hallmarking.

    Hallmarking

    According to the BIS website, there are two principle objectives of the hallmarking scheme:

    1. To protect the buyer against adulteration

    2. To obligate the producer to maintain legal standards of fineness and purity.

    According to the BIS website, effective from January 1, 2017, hallmarking of gold is done only for three levels of purity. These are as follows:

    22K 916Corresponding to 22 Karat gold
    18K 750Corresponding to 18 Karat gold
    14K 585Corresponding to 14 Karat gold

    The fineness number and BIS hallmarked on the piece of jewelry indicates that BIS has certified it to be of the fineness level/purity that is embossed on it as part of the hallmark. From June 16, 2021, it is mandatory for jewelers to sell hallmarked gold only.

    Sovereign Gold Bonds (SGB)

    Sovereign Gold Bonds (SGB) are government securities that offer an option to invest in gold without physically purchasing the precious metal. Investors can purchase securities in cash that are in denomination of grams of gold and can be redeemed on maturity.

    The Reserve Bank of India issues gold bonds on behalf of the Government of India.

    SGB vs Physical Gold

    In comparison to keeping gold in physical form, the SGBs are a better option because they reduce storage-related risks and storage expenses are eliminated.

    In the case of gold used in jewelry, SGBs are free from concerns like making charges and purity of metal. The bonds are kept in the RBI's books or in demat form, which eliminates the risk of scrip loss, among other things.

    In addition, since the investor receives the current market price for the gold at the time of redemption or premature redemption, the amount of gold for which they pay is protected.

    FAQs about Gold

    What are the factors that influence gold prices in India?

    Supply, Import rates, US Dollar exchange rate, International Relations.

    Why is investing in gold a good option?

    Security, inflation hedge, diversifcation of assets, Safeguard in an uncertain economy.

    How is purity of gold measured and what is hallmarking?

    There are two ways to indicate the purity of gold: Karat (denoted as KT) and the other is fineness number.

    How is tax levied on gold in India?

    The tax on gold investments in India is determined by the form in which the gold is held. For instance, there is no tax on the purchase or sale of gold if you invest in physical forms, such as gold bars or coins.

    Who is responsible for hallmarking gold articles in India?

    Bureau of Indian Standards or BIS is the sole authority for hallmarking gold ornaments in India. Gold jewelry hallmarked by the BIS bears the BIS logo indicating that its purity is verified in one of its licensed laboratories.

    How can the purity of gold be checked?

    Acid test, Getting appraised by a professional.

    What are Sovereign Gold Bonds (SGB) and how are they different from physical gold?

    Sovereign Gold Bonds (SGB) are government securities that offer an option to invest in gold without physically purchasing the precious metal. Investors can purchase securities in cash that are in denomination of grams of gold and can be redeemed on maturity.

    What is India International Bullion Exchange and how is it an opportunity for ‘One nation one gold rate’ policy?

    On 29 July 2022, India witnessed the launch of India International Bullion Exchange (IIBX) in Gift City, Gandhinagar. The exchange opened up an opportunity for the long awaited 'one nation one gold rate' policy.

    Which countries mine the highest quantities of gold in the world?

    Gold mining is a global business with operations on every continent, except Antarctica, and gold is extracted from mines of widely varying types and scale. At a country level, China is the largest producer of gold in the world. In 2021 China’s production accounted for around 9% of total global production standing at 323 tonnes.

    How much gold does India import?

    According to the Goldhub data of World Gold Council, India imported 651.24 tonnes of gold in the fiscal year 2020-21. This was a substantial fall of 9.5% and 33.7% against 719.94 tonnes of gold imports for FY20 and 982.

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