Gold Rate Today in Rewa

Rewa is a picturesque city in Madhya Pradesh, India. Surrounded by lush greenery and beautiful waterfalls, Rewa is a place with historical and religious significance. White Tiger Zoo & Safari, Govindgarh, Rewa Fort, Bahuti Falls, and Chachai Falls are some interesting places to visit in Rewa.

Rewa celebrates almost all festivals and special occasions, making the city a vibrant place where people buy gold as a part of their festive celebrations. Cultural and religious influences are two significant reasons people buy physical gold in Rewa.

People in this city purchase gold jewellery, coins, biscuits, and bars during auspicious occasions, such as Diwali, Dhanteras, and Akshaya Tritiya. Wearing and gifting gold ornaments during weddings is a common tradition in Rewa. During peak wedding season (November, December, January, and February), the demand for gold increases significantly in Rewa. 

Many people in Rewa have also started investing in non-traditional forms of gold to secure the value of their wealth during uncertain times. These include gold mutual funds, digital gold, and government sovereign gold bonds. If you are in Rewa and want to invest in gold, keep reading about gold rates in Rewa and what influences them.

Does Varying Purity of Gold Affect its Price in Rewa?

The price of gold is different for different levels of purity. The higher the purity level of gold, the higher the price. According to the Bureau of Indian Standards (BIS), there are six categories of gold purity available:

• 24-karat (99.9% pure gold)
• 23-karat (95.8% pure gold, also called 958 gold)
• 22-karat (91.67% pure gold, also known as 916 purity or 22K916)
• 20-karat (83.3% pure gold)
• 18-karat (75% pure gold or 18K750)
• 14-karat (58.5% pure gold or 14K585)

24-karat gold is the most expensive and purest form of gold. It is essential to know that when the quality of gold dips and the purity is not appropriately benchmarked, it also reflects in the price.

Simply put, don't be taken in by significant discounts on gold jewellery. It is essential to check with several reputed jewellery shops before going ahead with a purchase that comes with big 'discounts'.

How Does GST Impact Gold Rates in Rewa?

The implementation of the Goods and Services Tax (GST) has changed the rate of gold from what it was during the Value Added Tax (VAT) regime. Before GST came into effect, besides the 10% gold import tax, two other kinds of taxes were levied. They were 1.2% VAT and 1% customs duty. Now, a 3% GST is levied on gold along with a 12.5% gold import duty.

Factors that Affect Gold Rate in Rewa

Gold prices are determined by factors such as demand, supply, government duties and taxes. The gold rates in India can be influenced by even a slight variation in global gold prices. A few factors affecting the gold rate in Rewa are as follows.

Demand and Supply: During the wedding season and festive occasions, the demand and supply of gold affect its price in Rewa. The demand for gold is particularly high on auspicious days, festivals, and weddings.

As the demand increases, so does its price. Besides that, gold is also considered a safe hedge against inflation, leading people to invest in gold for long-term returns. 

Transportation Costs: Gold is a physical commodity, and the cost of transporting it from a central point to all states involves certain charges. The costs incurred cover fuel costs, vehicle expenses and the expenditure incurred to transport the gold securely from one place to another. All these factors affect the price of gold.

Government Regulations: When government policies are in favour of gold, the rate of gold typically decreases. Also, there has been an increase in the tax rates for gold after the implementation of GST (3%).

Taxes charged by local governments may also impact the price of gold in Rewa. Also, since most of India's gold is imported, it attracts an import duty of 12.5%, which also affects the price of gold. 

Local and Global Factors: Factors such as the availability of gold, its trading prices in Rewa, demand for gold jewellery, and the Indian currency exchange rate affect the gold prices in Rewa. India is the second largest gold importer in the world, and bullion trade is carried out in US dollars. 

Since it is a dollar-denominated asset, every time the US dollar value rises against the Indian rupee, the price of gold in Rewa rises. This rise is specifically due to high import costs paid by gold traders, which then get passed on to the next level of trading in Rewa.