Gold rate in Faridabad

Faridabad is the largest city in Haryana. It is located on the border of the national capital, close to Noida and Gurgaon. The town is famous for its manufacturing industries, thus attracting huge investors interested in gold.

The demand for gold remains high throughout the year, but the city observes an increased need during weddings and festival seasons.

Let’s understand the price of gold in the city.

Options to Invest in Gold in Faridabad

Multiple gold investment options in the city include physical purchases, sovereign gold bonds (SGBs), gold mutual funds and gold exchange-traded funds (ETFs).

Most gold purchases in the city are mainly for gifting and religious purposes. Broadly, the investment options can be divided into two categories.

1. Physical purchase from shops – People prefer to purchase gold locally from trusted jewellery stores. These stores offer different varieties of gold, such as 24 and 22-karat varieties, in the form of jewellery, bars, coins or bullion. The purchase of gold jewellery includes making charges of converting raw gold into ornaments.
2. Purchase from online markets – The working class of the city, who often purchase gold as an investment, rely on this option. Sovereign gold bonds, gold mutual funds, and gold ETFs are a few alternatives that you can invest in via the stock exchange. They are secured by the government and are considered a safe investment.

Factors that Majorly Affect Gold Prices in Faridabad

• Demand: The high demand for gold, specifically during festivals and weddings, has a similar effect on the price, as it increases too. The demand for gold is particularly high on auspicious days such as Akshaya Tritiya and Dhanteras. Besides that, gold is also considered a safe hedge against inflation, leading people to invest in gold for long-term returns. 
• Government Regulations: Government regulations pertaining to taxes and duties impact gold rates. For instance, the rate declines when the government policies are in favour of the yellow metal and vice versa. With the implementation of GST (3%), there has been an increase in the rates of gold.
• Local and Global Factors: The gold prices in Faridabad are affected by local and global factors, including the availability of gold, its trading prices in the city, demand for gold jewellery, and the Indian currency exchange rate, among others. 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 Faridabad 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 Faridabad.

How to Check the Purity of Gold in Faridabad?

The Bureau of Indian Standards (BIS) is a government authority that certifies the purity of gold. According to BIS, the following factors are to be kept in mind when buying gold -

1. BIS Mark
   Jewellery hallmarked by BIS will have a BIS logo on it. This logo is mandatory since BIS is the only authorised laboratory in India for gold certification.
2. Karat
   Karat is a scale to gauge gold's purity. While 24-karat gold is the purest (99.9% pure), it is too soft for crafting jewellery. Hence, other metals like silver, zinc and copper are added to make it sturdier. 22-karat gold (91.6% pure) is the most preferred choice for creating gold jewellery. 
3. Jeweller's Identification Mark
   The gold you buy should also carry an identification mark by an authorised jeweller. This helps ensure the gold is from a credible source. The mark can also be helpful in the case of a dispute.

Know More About 916 Hallmarked Gold in Faridabad

916 gold, also known as 22 karat gold, is a type of gold that is 91.6% pure gold and 8.4% other metals. It is a common type of gold used in the jewelry industry and is widely recognized as a hallmark of quality in India. The "916" hallmark signifies that the gold is of a high purity and has been independently tested and certified as such.

In India, the Bureau of Indian Standards (BIS) is responsible for setting standards and issuing hallmarks for gold jewelry. The BIS operates a network of hallmarking centers across the country, including in the city of Faridabad, where gold jewelry can be tested and certified. To receive a 916 hallmark, gold jewelry must meet certain standards of purity and quality, and be tested by an independent third party to ensure it meets these standards.

In addition to the 916 hallmark, gold jewelry may also be stamped with other hallmarks or markings indicating the maker or designer, the type of gold used, and other information. These markings can help consumers identify the quality and authenticity of the gold jewelry they are purchasing.

It is important to note that not all gold jewelry is required to be hallmarked, and some jewelry may not carry a hallmark even if it is made of 916 gold. However, buying hallmarked gold jewelry can provide consumers with an added level of assurance that they are getting a product of high quality and purity.