Gold Rate Today in Gaya

The holy city of Gaya sits along the Falgu River in Bihar. This city is best known for the 18th-century Vishnupad Mandir. There is a reference to Gaya in the great epics - the Ramayana and the Mahabharata. The city of Gaya has a rich heritage. The same goes for gold, which has a long history and cultural significance to the town.Gold is primarily used for jewellery and as an investment throughout India, which is also the second-highest consumer of gold after China. Gold is considered a reliable investment  owing to its long-term appreciation. Gold is associated with weddings and auspicious festivals as a tradition and a symbol of wealth and status. According to the India Gold Policy Centre (IGPC) report, middle-income households (earning between ₹2 lakh and ₹10 lakh) purchased 56% of the gold sold in India over the past five years.

How Do GST & Import Duties Impact Gold Rates in Gaya?

There have been a few gold rate changes since the Goods and Services Tax (GST) implementation. 

Gold is subject to a 3% GST on its landed cost. 

A landed cost or landed price refers to the total cost of transporting a product from its source to its destination, including import duties and charges like Basic Customs Duty (BCD), Agriculture and Infrastructure Cess (AIDC), and Social Welfare Surcharge (SWS).

GST on the making charges of gold jewellery is 5%. Making charges constitute the cost incurred by a jeweller to convert raw gold into intricate jewellery designs.

How is the Purity of Gold Evaluated in Gaya?

Karat is the unit of measurement used to specify the purity of gold. The purity of 24-karat gold is 99.9%, making it the purest form of gold. Due to its softness and fragility, 24-karat gold is unsuitable for making ornaments or jewellery.

Pure gold is mixed with metals like zinc, copper, nickel and silver to impart its rigidity and hardness. Jewellery is typically made from 22-karat gold, which is more durable owing to its composition. 22-karat gold is made of 91.6% pure gold mixed with trace amounts of silver, zinc and copper.

You can determine the purity of gold jewellery by checking the hallmark. The Bureau of Indian Standards (BIS) issues hallmarks as an assurance of purity.

As per the Ministry of Consumer Affairs, you should look for the following marks when purchasing hallmarked gold jewellery:

• BIS Mark or Logo
• Purity in Karat or Fineness Number (e.g. 22K916, 18K750, 14K585)
• Identification Mark or Number of the Assay Centre
• Jeweller's Identification Mark or Number

The following hallmarks denote different purity levels of gold -

• 999 hallmark - 24-karat gold - 99.9% purity
• 916 hallmark - 22-karat gold - 91.6% purity
• 750 hallmark - 18-karat gold - 75% purity
• 585 hallmark - 14-karat gold - 58.5% purity

Factors Affecting Gold Prices in Gaya

International Market

India is the second-largest consumer of gold in the world. Imports fulfil the majority of the gold demand in India. So, when gold prices rise overseas, they also increase in India.

Value of the Indian Rupee

Gold's spot price is determined by the London bullion market, which trades in dollars, euros and pounds. Due to this, the value of the Indian rupee against other currencies significantly impacts gold prices. When the rupee's value falls, the exchange rate increases, resulting in higher prices.

Festive and Wedding Seasons

The demand for gold usually increases during these seasons, and people buy gold in massive amounts. This results in higher prices. 

Rate of Interest

A fixed deposit (FD) is one of the most popular savings and investment instruments amongst Indian households. However, gold becomes a more attractive investment choice when interest rates fall. This is because gold has proven to yield high long-term returns.

Inflation

The price of gold often increases as a result of inflation. A common reason for purchasing gold is to counter inflation, which increases its demand, and in turn, its price. 6. Stock Market Correlation: Gold prices and the stock market have a negative correlation. During a decline in the stock market, investors usually place their surplus funds in safe assets such as gold.