Today Gold Rate in Kolkata

Gold Rate in Kolkata Today – An Overview

Gold is considered a crucial monetary asset globally. Many people in Kolkata consider Gold a symbol of status and wealth. The gold value today in Kolkata differs depending on a plethora of factors like demand and supply, inflation, interest rates, import duty, government reserves etc.

With a wide range of metals available in the market, gold still holds a high regard for investment. Due to some of the most influential factors like inflation-beating capacity, high liquidity and much more, gold is one of the most preferred investments in Kolkata and every Indian city. One can invest in gold in numerous forms, like buying coins, jewellery, gold funds, gold exchange-traded funds etc., but these investments require you to know the gold rate in Kolkata.

So, in this article, we will check out today’s gold rate in Kolkata 22 carat along with helping you understand the types of gold purity measurement, the impact of GST on gold price in Kolkata and much more. 

Various Types of Purity Measurement of Gold

Buying gold requires you to spend a large amount of money, making it important to know the types of gold purity measurement methods. With less information on gold purity measurement ways, the gold buying deal might end up being worthless. So, before buying gold in Kolkata, make sure you check its purity by keeping the below-mentioned points in mind:

• Inspect for Karats: The easiest way to determine the purity of gold is to look for a karat stamp. The Karat (K or KT) stamp indicates the percentage of gold in the jewellery. In Kolkata, gold jewellery is typically sold in 24K, 18K, 14K, and 10K varieties.

Marking	Karat (K or KT)	Pure Gold (in %)	Other Metals (in %)
14K585	14K	58.5%	41.5%
18K750	18K	75%	25%
22K916	22K	91.6%	8.4%

• Perform a Magnet Test: Gold is a non-ferrous metal, meaning it would not attract a magnet. So, if the gold jewellery sticks to the magnet, it’s not pure gold.
• Conduct an Acid Test: Another way to test gold jewellery is by conducting an acid test. Gold jewellery can be tested with a special acid solution, and the acid will react differently depending upon the purity of the gold.
• Use a Professional X-ray Spectrometer: A professional X-ray Spectrometer is one of the most reliable methods for determining the purity of gold. A professional X-ray spectrometer can determine the exact percentage of gold in a jewellery piece without causing any harm or damage.
• Hallmark: Last but not least, check for the hallmark on the gold. Hallmark is the laboratory logo where that particular gold piece is accessed to check its purity. Notably, only licensed laboratories of the Bureau of Indian Standards (BIS) are allowed to check the purity of gold and put their mark on it. 

How Can You Buy Gold as an Investment in Kolkata?

Taking into consideration the current gold rate in Kolkata, are you planning to buy gold as an investment? If yes, then this section is for you!

Investing in Gold is often seen as a way to diversify a portfolio and provide an ideal hedge against any potential volatility of equity investments or inflation. Investing in gold can be done in two ways, i.e. physical form and digital form.

Gold as an investment in physical form in Kolkata can be held in the form of coins, bars, jewellery etc. However, there are certain limitations to investing in physical gold. But you can overcome the same by opting for digital gold. Yes, you can choose the digital route of investing in gold through Gold ETFs, Gold Mutual Funds, Sovereign Gold Bonds etc.

Let’s have a look at the short description of each type of gold investment.

Physical Gold

• Gold Jewellery: Purchasing gold jewellery is another common way to invest in gold in Kolkata. Both online as well as physical stores provide a wide selection of designs and sizes for gold jewellery. To acquire the best prices on jewellery, one can keep an eye on the 22-carat gold price in Kolkata.
• Gold Bullion: Gold bullion is the most direct way to invest in gold. Gold bullion comes in several forms, including coins, bars etc.

Digital Gold

• Gold ETFs: Gold Exchange Traded Funds are traded on stock exchanges just like shares and are composed of Physical Gold and Gold mining/refining stocks. A Demat (Dematerialised) Account is required to invest in Gold ETFs. With no purity worries, gold ETFs provide ease of trading on a stock exchange. The gold price today in Kolkata makes Gold ETFs a worthy investment option.
• Digital Gold: Digital Gold can be purchased through a variety of apps in denominations starting from 1 gram.
• Sovereign Gold Bonds: These bonds are periodically released by the Reserve Bank of India (RBI) and can be purchased through leading public and private sector banks. The returns of these bonds are pegged to the price of gold and guaranteed by GOI, although they do not have physical gold as an underlying asset.

Things to Know Before Buying Gold Jewelry in Kolkata

In the rush of purchasing gold, it’s pretty common to make some mistakes, but the same can be avoided by keeping the below-mentioned things in mind.

• Know the Purity: The purity of gold in Kolkata is denoted in Karats (K or KT). The 24K gold is considered 99.9% pure, and the 22K gold is believed to be 92% pure.
• Check the Weight: Most of the gold jewellery in Kolkata is sold by considering weight, which means that the heavier the piece, the more costly it will be. Stones like emeralds and diamonds are often studded into the gold jewellery, making them heavier. So, sometimes people end up paying prices for gold which is not actually present in the piece. Therefore, it’s important to keep this in mind.
• Jewellery Shops: There are hundreds of jewellery shops in Kolkata, small and big, catering to the population. Buying gold jewellery from small shops can put you at risk as they might pass impure gold as pure gold or can even sell stolen gold jewellery. It’s always advisable to purchase gold from a reputable jewellery shop as there is a guarantee about such gold purchases.
• Making Charges: When buying jewellery, knowing the making charges is imperative. It is even more important to know that you can bargain on making charges and get them reduced. Making charges can make up to 30% of your jewellery costs.
• Colour: Gold can come in a variety of colours, such as white gold and rose gold, but in India, yellow gold is the most popular. This type of gold is created by mixing pure gold with other metals.
• Price: The gold price in Kolkata keeps changing, making it difficult to predict whether the prices will grow or fall. So, if you are planning to wait and purchase, you cannot be sure that the price will fall. However, you can inquire or research to see if there is any possibility of a price reduction. 

Factors Affecting Gold Price in Kolkata Today

The rate of gold today in Kolkata is affected by a handful of factors that involve the following:

• International Price of Gold: The global price of gold is the primary factor that affects the price of gold in Kolkata. If the international price of gold rises, the price of gold in Kolkata or any other Indian city will also increase.
• Currency Exchange Rates: The currency exchange rate also affects the price of gold in Kolkata. If the rupee weakens against other currencies, the price of gold in Kolkata will increase and vice versa.
• Local Demand and Supply: The local demand and supply of gold also affect the price of gold in Kolkata. If the demand for gold increases, the price of gold will also increase. On the other hand, if the supply of gold increases, the price of gold in Kolkata will decrease.
• Government Policies: Government policies also affect the price of gold in Kolkata. The government may tax the gold, impose import duties, or introduce other policies that can influence the price of gold in the city.
• Import Duty: India, as a country, contributes less than 1% to global gold production. However, the country is the second largest consumer of precious metals like gold. So, in order to meet the high demand for gold, the country imports a lot of gold. Therefore, import duty plays a great role in determining gold prices. 

What is the Difference between KDM and Hallmarked Gold in Kolkata?

The difference between KDM gold and hallmarked gold is explained below:

KDM Gold

KDM Gold is a kind of gold that comprises 92% of gold and 8% of cadmium alloy. The mixture of gold and cadmium alloy is used to attain a high standard of gold purity. However, it was observed later that this mix did not affect the purity at all but caused serious health problems for artisans working with it. Due to this reason, KDM Gold is now banned by Bureau of Indian Standards (BIS) and cadmium is now replaced with more advanced solder metals like Zinc.

Hallmarked Gold

Hallmarking is the process of certifying the fineness and purity of gold. The BIS hallmark on the gold jewellery indicates that it conforms to a set of standards laid by the Bureau of Indian Standards (BIS). Hallmarked Gold gives consumers a sense of satisfaction regarding the purity of gold that they purchased. BIS is responsible for hallmarking the gold as well as silver jewellery under the BIS Act.

A hallmark seal is composed of four components that involve:

• The BIS hallmark, certifying that the purity has been verified in a laboratory
• The purity and fineness in Karats
• The mark of the assaying and hallmarking centre
• The jeweller’s own unique identification mark

Impact of GST on Gold Rate in Kolkata

The impact of the Goods and Services Tax (GST) on gold prices in Kolkata is minimal. At present, gold rates are seeing a rise due to unstable markets despite the additional tax burden. While the overall price of gold has risen, this has been due to the import duty associated with the metal, which has been retained. As a result, gold continues to attract an import duty of 10%, in addition to the 3% GST and 5% making charges GST.

The GST rate on gold in India is 3%. This is a flat rate, so the impact on local gold prices in Kolkata is the same as the impact on gold prices in other parts of India. The Goods and Services Tax has not had a major effect on gold prices in Kolkata, and the gold prices in the city are largely determined by international gold prices.

How Can Interest Rates Affect Gold Prices in Kolkata?

Interest rates affect gold prices in Kolkata in several ways. When interest rates are low, investors tend to move away from traditional investments such as bonds and stocks and start preferring commodities, such as gold, as a safe haven for their money. This increased demand for gold drives up its price.

On the other hand, when interest rates are high, investors tend to move away from commodities, such as gold, and start preferring more traditional investments, such as bonds and stocks, which drives down the price of gold. Therefore, the lower the interest rates, the higher the price of gold in Kolkata.