Gold rate in Satna

Satna, also called “Bhatgarh” or “Shat Nagar", is a city in northeastern Madhya Pradesh. Large deposits of limestone and dolomite are found here, making it the world’s largest cement-producing city. Satna is known for its Lakshminarayan Temple, Sharadha Devi Temple, Chitrakoot Dham, and many other Hindu temples, Jain temples, mosques and churches. 

People in this city buy physical gold due to cultural and religious influences. Buying gold is considered auspicious during occasions such as Diwali, Dhanteras, Akshaya Tritiya, etc. Like any other major city in India, people in Satna also buy new gold jewellery to wear or gift during wedding ceremonies. That’s why the demand for gold exceeds its supply during peak wedding seasons (November to February). 

People also purchase gold for investment in Satna. For investment purposes, they prefer alternatives to physical gold, such as sovereign gold bonds (SGBs), gold mutual funds, gold Exchange Traded Funds (ETFs), and digital gold. 

If you wish to buy gold in Satna, you should keep track of its price trend. It will help you get the best deal by timing the market better. Check out the per-gram price of gold (as per different purity levels) in Satna below.

Impact of GST on Gold Rate in Satna

The Goods and Services Tax (GST) was introduced in India in 2017. The current GST rate on gold in Satna is 3%, which needs to be paid on all gold purchases.

Additionally, three types of import duties apply to gold imports to India - 

• Customs Duty - 12.5%
• Agriculture Infrastructure and Development Cess (AIDC) - 2.5%
• Social Welfare Surcharge - 10% of Customs Duty

The implementation of GST has increased the price of all gold items. In the pre-GST regime, a Value-Added Tax (VAT) of 1.2% was levied on gold purchases, as opposed to the GST rate of 3%.

24-Karat vs 22-Karat Gold

24-karat is the purest form of gold, with a purity of 99.99%. As pure gold is soft and highly malleable, it becomes difficult for artisans to use pure gold to craft intricate designs on gold jewellery.

Thus, gold is alloyed with other metals, such as silver, copper and zinc, to impart rigidity. This is how 22-karat gold is formed, with a purity of 91.67%. It is also known as 916 gold, referencing its purity level. This type of gold is ideal for crafting gold jewellery and ornaments.  

How is the Purity of Gold Evaluated in Satna?

The purity of gold in Satna is certified by a government organisation called the Bureau of Indian Standards (BIS). The gold purity certification process followed by the BIS is called hallmarking. Like any other part of India, all jewellers in Satna need to sell hallmarked gold to customers. 

When you visit a jewellery showroom in Satna, you will majorly find three types of hallmarked gold jewellery:

• 22K916: It means that the gold ornament is made of 22-karat gold and has a purity of 91.6%.
• 18K750: The gold item is crafted using 18-karat gold and contains 75% pure gold.
• 14K585: It means the gold article is made of 14-karat gold and comprises 58.5% pure gold.

Besides these three categories, three more grades of gold have also been classified by the Indian Standard on Gold Hallmarking IS 1417:2016. These are:

• 24-karat: It is the purest form of gold - 99.9%.
• 23-karat: It has a purity of 95.8%.
• 20-karat: It contains 83.3% pure gold.

Caution to Exercise While Buying Gold in Satna

When you are buying gold in Satna, you should check whether these four things are present on your gold ornament, bar, biscuit or coin:

1. BIS Mark or Logo
2. Karat and Fineness Purity
3. Mark or Number of Hallmarking or Assaying Centre
4. Jeweller Identification Mark or Number

If all these four aspects are inscribed on your ornament, you can be sure that you are buying a high-quality gold product from a BIS-certified jewellery store in Satna.