Gold Rate Today in Kerala

Various factors influence gold prices in Kerala, such as:

1. Demand Vs. Supply 

This is a broad concept in economics. Although it is effortless to understand, you can easily apply it to understand how it affects gold prices. There is increased demand for Gold during any festival as it is used to present as gifts and is an excellent symbol of wealth. 

2. Inflation 

The gold value is steady, thus making it a safe investment option. With a hike in inflation, there is also a hike in the price of Gold due to the high demand. The prices in Kerala also get affected because of this. 

3. Interest Rates 

The relation between interest rates and gold prices is a negative one. So, when interest rates are high, people sell Gold to get cash. Thus leading to an increased supply of Gold and decreased prices. Contradictorily, when interest rates are low, people have cash, leading to a deficit in the gold supply. This makes the prices shoot up. 

4. Reserves Held by the Government 

The government of India also holds reserves of Gold which they sell and purchase through the Reserve Bank of India. When the RBI purchases gold, the prices also go up. 

Gold is a symbol of wealth, prosperity, and culture. It lately has also turned into a status symbol used in special occasions such as weddings, events, etc. Gold is especially popular among women for ornaments and for presenting Gold to goddesses. 

Moreover, gold jewelry and items are heirlooms passed on from generation to generation as an inheritance. It is a valuable asset that holds importance and always retains its value. Gold comes in various forms, such as gold mutual funds, ETFs, and Gold mutual funds. 

Today's Gold Rate in Kerala is determined by multiple factors mentioned below:

1. Interest rates

● Gold and interest rates have an inverse negative relationship. This means that when one rises in price, the other goes down in price. You sell Gold to get more liquid cash when interest rates are high. 

● Therefore, the supply of Gold is increased, leading to a decrease in the price of Gold. On the other hand, with low-interest rates, you have more cash and a gold supply deficit. Therefore the prices of Gold are high. The gold prices are an indicator of the country's interest rates. 

2. A mismatch between demand and supply

● Demand and supply are essential in determining today's gold rate in Kerala 22 carat. Gold comes in the form of jewelry, bars, and coins and is a symbol of prestige. 

● During festivities and weddings, Gold is a must-have and is owned and donned by all. Even the medical industry requires this metal. In fact, Gold is a great conductor of electricity, but due to its high price, it is not used in the electrical industry. 

● Gold is also used as collateral when applying for a loan; the gold loan is an extremely popular and sought-after loan in India.

●Moreover, the demand for Gold is very high in India, not just for jewelry purposes but also for meeting the country's ever-rising demands and needs. This is why gold prices rise multi fold with a discrepancy between supply and demand. Hence, the gold rate today in Kerala gets affected when there is a mismatch between supply and demand. 

3. Inflation 

● In economics, inflation refers to a hike in the prices of services and goods. But, Gold is steady and stable relative to other things, such as currencies, making Gold an extremely safe investment option. In fact, 

● Gold is used to be safe from inflation. During inflation, when the prices rise, there is high demand for Gold. Therefore, inflation affects the gold rate in Kerala. This applies to international gold prices as well. 

4. Global Gold Price Trends 

● Even though the usage of Gold is so vast in India, even then, there are considerable imports in terms of Gold. Therefore, with the global price changes, the gold price today Kerala also gets equally affected. 

● The value of the Rupee and US Dollar is essential because as the INR weakens against the USD, there is a hike in gold prices. Also, the currency value decreases during a recession, political crisis, pandemic, etc. During such times, investors look for Gold as an incredible savings option. Therefore, the prices of Gold rise during such times.

5. Government Policies 

Various government policies come up every now and then. These policies can significantly impact the prices of Gold in Kerala. For example, the Goods and Services Tax has dramatically impacted the prices of Gold. This imposition of GST affects the 916 gold rate today in Kerala. 

6. Gold Reserves 

The government of India holds reserves of Gold which they sell and purchase through the Reserve Bank of India. Thus the central bank of India buys Gold, and simultaneously the prices of gold increase. Therefore, gold reserves significantly impact today's gold rate in Kerala 22 carat. 

● Gold should be bought only from authentic places in Kerala. You would not want to compromise on the quality of Gold and make sure that you buy from an authorized and genuine dealer. Dealers who do not compromise on gold purity are the best. Whether it's 10 carats or 22 Carat gold rate in Kerala, you can consider a few dealers who guarantee pure Gold according to what they assure. 

● You can find Gold in Kerala from Bhima Jewellery, Malabar Gold and Diamonds, Kalyan Jewellers, Rajakumari Gold and Diamonds, Chungath Jewellery, Nakshathra Gold and Jewellers and Kalyan Jewellers. Kerala is a hub for gold jewelry and business in South India.

When importing Gold into Kerala, there are a few things you need to be wary of. As an international traveler traveling to India, you cannot import Gold according to your wishes. India is a big market for Gold, even though it does not produce it in significant amounts to fulfill domestic needs. Therefore, large amounts of it are imported into the country. However, you need to keep a few points in mind when importing Gold in India, such as

1. Custom duty 

● There is a custom duty that you need to pay on Gold. The total custom duty on gold bars stands at a total of 15%. 
● The GST imposes an additional 3% tax, and you have to pay 18.45% as tax for refined Gold.
● A State Trading Corporation is charging another fee for importing Gold. 

2. Limitations on importing Gold

● When importing Gold, coins and medals are prohibited. 
● All imports of Gold are to be routed through custom warehouses. 
● For women, the amount of Gold they can carry cannot be more than Rs.1 lakh; for men, this value is Rs.50,000.
● An individual cannot carry more than 1 kg of Gold at any time.
● The above two points apply to individuals living in a foreign nation for more than a year. 
● An individual who travels abroad cannot import Gold as per their whims and fancies.  
● Also, the last time an individual must have spent abroad before they import Gold is 6 months. Before this period, Gold could not be imported into the country.  
● There is a ceremonial law when importing Gold, which is the Customs Act, and none of the points mentioned in this act can be breached. Punishment is inevitable if there is a law breach, and you can get yourself in trouble.

Importing Gold should be done keeping all rules and regulations in mind. If you do not follow proper rules, you might land yourself in unnecessary trouble. 
 

There are various ways of investing in Gold in Kerala, which can be a great option, such as:

1. Jewellery 

The best investment option when it comes to Gold is that you can purchase gold jewelry. Also, Kerala is a gold hub for purchase and business. Therefore, this is a great option. 

2. Coins 

You can even purchase gold coins in various sizes and shapes. 

3. Bullions 

Bullions purchase Gold in a pure and sole form, such as gold bars. The purity and mass of this Gold make it highly market worthy. 

● The GST on gold prices in Kerala significantly impacts its prices. The Goods and Services Tax( GST) was introduced in 2018 and has a direct effect on gold prices. After GST has been introduced, the GST is levied at 3% instead of 5% on the total jewelry value, irrespective of whether the making charges have been mentioned. 

● The making charges on Gold attract an additional 5% GST, and if the goldsmiths are not GST registered, the jeweler will have to bear the 5% on a reverse charge basis. 

● The customs duty on Gold was increased from 10% to 12.5% as per the Finance Act 2019. Making charges differ with respect to jewelers; usually, this is close to 10% in most cases. 

● Before and after GST comparison shows that there has been an increase in the prices of Gold with the introduction of GST. The price with this increased tax on Gold has also increased the price rise in Gold. 

● Every year, the budget also changes the customs duty on gold and gold items, impacting the prices of Gold in India. Pre-GST, the gold prices used to bear only 1% taxed, and post GST it has changed to 3%, thus leading to an increase in the prices of Gold. 

Gold is an expensive commodity, and therefore, you cannot just buy it from anywhere randomly and without giving it a proper thought. Therefore, there are a few things to remember before you buy Gold in Kerala. You need to master the art of purchasing Gold. Indians love Gold, hands down. Moreover, be it Indian or western wear, gold jewelry can be paired with any outfit. Also, you must keep in mind the 22ct gold rate today Kerala. Just mentioning Gold can be enough to catch people's attention. However, it is essential to remember the below-mentioned things before buying Gold in Kerala

1. Purity 

● It is imperative that you buy Gold that is pure. Gold comes in various forms of purity, such as 24 karats, 22 karats, 18 karats, and 14 karats. Every karat is equal to 4.2% of the purest Gold. 

● 24-karat Gold is not suitable for making jewelry as it is in its purest form with high malleability and ductility. Purchasing Gold without checking its purity should be a complete no-no, and you should not let your money go to waste.

2. The weight 

In India, most gold jewelry is sold by weight. Diamonds and emeralds are an add-on to these, thus adding to their weight. Essentially, you might end up paying more than required for that amount of Gold. So, check the size of the Gold and be a little smart about it. 

3. Making charges 

This is of utmost importance. The labor charge that goes into making Gold charges differs, and you might end up paying for these charges. You should insist on fixed making charges. 

4. Man-made Vs. machine made 

In this age of technology, it is common to get machine-made jewelry. Making charges on machine made are consistently lower, so ensure that the artifact you're looking at is man or machine-made. Discussing this can be of great help in deciding the making of charges. 
 

● KDM gold is an alloy of Gold with 92% gold and 8% cadmium; this is precisely where the term KDM has originated from. This mixture helps in attaining a high purity gold standard. Although it was great in quality, it caused severe health issues for the ones working on making this KDM gold. Because of this reason, KDM gold is not banned and is replaced with metals. 

● On the other hand, Hallmarked Gold is a process of certifying the fineness and purity of Gold. If there is a BIS hallmark on the gold jewelry, it confirms the purity. Hallmarking is an excellent way of assuring customers regarding the purity of Gold. The purity of the hallmark is indicated with a BIS hallmark, purity in Karat, Assaying Centres, and the Jeweller's identification mark. 

Note: BIS stands for Bureau of Indian Standards, which comes under the National Standards Body of India and is responsible for hallmarking both gold and silver jewelry under the BIS act in India.