GOLD RATE TODAY: KNOW 22KT, 18KT, 14KT RATES FROM IBJA AND WHAT TO CONSIDER WHEN BUYING JEWELLERY

Gold rate today: Gold prices change daily based on supply and demand factors. Investors often turn to gold during economic downturns, while in India, gold is also a popular choice for weddings and special occasions like Akshay Tritiya.

Why gold prices vary

If you're planning to buy gold for the upcoming wedding season or Akshay Tritiya, it's important to know the current gold rate. However, while it's easy to find the price of 24-karat (KT) gold online, this isn't always helpful when buying jewellery. This is because jewellery often uses gold of lower purity, such as 22KT, 18KT, or 14KT, which affects the price, states an ET report.

Gold karat purity

Jewellery is typically made with gold of 22 karats, 18 karats, or 14 karats because these levels offer a good balance of strength and flexibility, which is crucial for creating durable jewellery. Although 24-karat gold is the purest, it's too soft to be used in most jewellery.

If you're buying diamond jewellery, the typical gold purities used are 18 karat or 14 karat because 22-karat gold is often too soft to securely hold diamonds.

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Gold prices depend on its purity. At the top is 24-karat (24KT) gold, which has a fineness of 999 and is considered the purest, making it the most expensive. On the other hand, 14-karat (14KT) gold has about 58.5% pure gold, which is why it costs less.

Because 24KT gold is too soft to make durable jewellery, other metals or alloys are mixed with it for added strength. This is why it's rare to find jewellery made from pure 24KT gold. However, some jewellers offer jewellery in other purities, like 23KT and 20KT.

Gold prices from IBJA

The Indian Bullion and Jewellers Association (IBJA) releases daily gold prices twice a day, showing the opening (AM) and closing (PM) rates. According to their website, these rates are used as benchmarks for issuing government securities like Sovereign Gold Bonds, following guidance from the Ministry of Finance and the Reserve Bank of India. IBJA's rates are also used as reference points for banks and non-banking financial companies (NBFCs) when providing loans against jewellery. IBJA has offices in 29 states and is involved in all government committees related to gold.

Here are the current prices for gold from IBJA:

Gold price today

*The price is for 10 grams of gold, based on IBJA rates. These prices are updated with a slight delay. Morning (AM) prices are generally updated by 12 PM, while evening (PM) prices are usually updated by 6 PM.

The above rates are for reference purposes only since the final rate would depend on any additional charges like shipping, storage etc. that a jeweller may add.

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Buying gold jewellery: Some things to check

While the price of gold is important, there are other factors to consider when buying jewellery. Here are some key things to check when purchasing gold jewellery:

Jewellers’ calculation: It's important to make sure the calculation on the jeweller's bill is accurate. Here's how jewellers calculate the final price of gold jewellery:

Final price = (Price of gold × Weight in grams) + Making charges + GST + Hallmarking charges.

Gemstones and diamonds: If your jewellery includes a gemstone or diamond, the cost of those stones is added separately to the gold's price. This additional cost reflects the value of the gemstones, which is not included in the price of the gold itself.

Certification for gemstones: Always check if the gemstone or diamond is authentic. Jewellers typically provide a certificate of authenticity. When buying diamonds, the price is influenced by the 4Cs: colour, clarity, cut, and carat weight.

Purity and hallmarking: To protect gold buyers from fraud, the Indian government mandated hallmarking for gold jewellery from June 16, 2021. This requirement applies to six different gold purities: 24-karat, 23-karat, 22-karat, 20-karat, 18-karat, and 14-karat.

The price of gold jewellery depends on its purity.