Gold Rate Today in Patan

The city of Patan is situated in the north of Gujarat. Famous for its rich cultural history, the city is today a centre of agricultural production. Patan is known for the most beautiful kind of handmade silk patola saris. The city's primary industries include cotton milling, embroidering, and ivory carving. Patan is home to many higher education institutions. 

Patan is seen as a heritage city. Many rulers largely influenced its past. Gold has always been part of its tradition and the locals are fond of yellow metal, which contributes to the price control of this precious metal. There is a surge in gold sales during the festival season for bazaars and artists.

The goal of this article is to provide you with knowledge about the gold rates in Patan, why they fluctuate, and a few other points that may help you while purchasing gold.

How is the Price of Gold Fixed in Patan?

Gold has always been a favourite and precious metal for people in the city. Gold is not just a metal used to make ornaments, but it is also considered an important investment. The price of gold in Patan depends upon the following factors.

Demand and Supply

Gold prices get impacted by supply and demand factors. When the supply increases and demand are less, the price will be low. As against this, when the supply is less and demand is more, the price will be higher. During auspicious days and wedding season, there will be more demand and the price of gold goes up. Festivals boost the demand for personal use and also for gifting.

Geopolitical Reasons

The supply of gold in the country depends upon imports. The geopolitical factors affect the price of gold. There can be a change in the import duty and another related cost that affects the price of gold. War, an outbreak of diseases, the governance of some of the gold-producing countries, etc. can largely impact its price.

Import duty

India depends on imported gold. If import duties are high, the price of gold increases. The increase or decrease in import duties is directly related to gold prices.

Local market conditions

Gold prices are dependent on local market conditions like city-specific demand, local taxes, transportation charges, etc, which are different from city to city.

Gold vs Mutual Fund

Gold is a valuable asset for all and is mostly present in the portfolio of investments. Gold is always resorted to as a tool to protect against sudden monetary requirements from olden times. Gold does not earn a fixed and regular income. But the valuation of gold fetches a good return over some time. Mutual funds, on the other hand, are market linked and they give a regular return. However, the valuation of a particular mutual fund scheme depends on its underlying securities. Physical gold can be purchased in the form of Bullions, gold mutual funds, Exchange Traded Funds, Sovereign Gold Bonds, etc. Mutual funds are divided into equity and debt funds. Similarly, they can be categorised by mode of investment and mode of management. It all depends upon individual preferences that drive the decision to invest.

Gold has been an inseparable part of people's life. The used gold is mostly found in making ornaments. However, it is just not limited to that, as there are other ways of investing in gold. Undoubtedly, the yellow metal is loved and preferred by all.

Interesting Facts about Gold

• The Perth Mint made the largest gold coin in 2012. It weighed one tonne. The diameter was 80 cm.
• The boiling point of gold is 2808 degrees C. 
• The human body's temperature is 37 degrees C. As gold's conductivity of heat is such that rapidly adjusts as per our body temperature, it is the most preferred metal to make jewellery. 
• If the existing gold in the world is melted and made into a 5-micron thick wire, the entire world can be wrapped around 11.2 million times. 
• It is easy to find a five-carat diamond but rare to find an ounce nugget of gold.
• Almost half of all gold mined at present is used to make jewellery, which means the only purpose where gold is used maximum is for making ornaments.