Gold rate in Surat

Surat specialises in diamond polishing and textile trade and is one of India's most important port cities. In Surat, gold is traded in the form of jewellery and as coins, bars and sovereign bonds. Surat accounts for 90% of the diamond cutting and polishing in the world, 90% of total diamond exports in India and 99.9% of total rough diamond polishing and cutting in the country.

Purchasing gold has great significance in Indian households as a cultural norm and investment. A large number of people in India invest in gold through jewellery, bonds, coins or any other form. In Surat, too, gold is in demand for jewellery and investment purposes.

Gold is the most valued metal in India. Here are some interesting facts about it: - Most people think that jewellery is the most popular forms of gold. However, this is not true. There are other forms, too, including bullion bars, gold exchange-traded funds, gold mutual funds, etc. Gold ETFs are quite popular as they are safe and easier to purchase. You can buy gold ETFs online through fund houses that offer the scheme. - Gold can be easily liquidated. It means that you can easily convert gold assets into cash when required. - Gold can act as a hedge against inflation. This is because gold prices rise if inflation increases, so you can get inflation-adjusted returns. - Gold mutual funds invest in physical gold and other gold-related investments. They can give you a diversified portfolio of gold assets. - Digital gold is also available, allowing you to purchase gold in small, affordable amounts and hold it digitally.

The purity of gold is evaluated by the Bureau of Indian Standards (BIS), a government body responsible for certifying gold purity. The process of certifying the purity of gold is known as hallmarking. According to the BIS website, four components determine the purity of hallmarked gold - the BIS mark, identification number or mark of the jeweller, purity of the gold in Karat and its fineness and hallmarking centre's identification number.

The Goods and Service Tax implementation in 2017 has created a large-scale impact on the rate of gold in Surat. Before the implementation of GST, there was a 1% service tax and 1% VAT, along with a 10% import duty on the sale price of gold jewellery. However, after the introduction of GST, the rate of tax on gold is 3%, along with a 10% import duty.

Central Bank (RBI) policies affect the prices of gold to an extent. When RBI buys gold, the prices shoot up because of increased demand from RBI. The RBI has now changed its policy and tapered its gold purchases. Now, as and when the RBI buys gold, the metal's price gradually increases.