Gold Rate Today in Thanjavur

Located in the Indian state of Tamil Nadu, Thanjavur is well known for its beauty. The city is renowned for its contribution to the state's agricultural production. Thanjavur is also a significant centre for the production of musical instruments and silk weaving.

In Thanjavur, wearing gold during festive events is considered auspicious. The demand for gold in Thanjavur stays all-time high during festivals and weddings. People in Thanjavur use gold mostly for jewellery and financial investment purposes.

Before learning about the gold rate in Thanjavur, you need to know about the different qualities of gold. A strip or bar of gold, or a gold coin, can be of two types - 22 karats or 24 karats (K). K is the symbol of the purity of gold and is a measure of how much gold there is in ratio to other metals. 24K gold will always be more expensive than 22K gold since it has a higher purity level.
You should verify the current gold prices in Thanjavur before buying gold or opting for a gold loan.
 

How Does GST Impact Gold Rates in Thanjavur?

Anyone who purchases gold jewellery is required to pay a Goods and Services Tax (GST) of 3%. GST is charged on imported gold as well. Although gold jewellery-making charges were not taxed in the past, making charges now carry 5% of the price. 

The demand for gold and its liquidity has decreased as a result of the increasing gold GST rates and daily gold prices. The introduction of GST has resulted in several free trade agreements with nations that export gold.

Gold Investment Options in Thanjavur

Thanjavur, one of India's major commercial centres, offers a wealth of investment prospects.

• Wearing gold jewellery is considered lucky in many coastal communities, especially at wedding ceremonies and other important occasions. Numerous people purchase gold jewellery, not just as a fashion choice but as an investment also. Additionally, they invest in bullion and coins to beat inflation and unpredicted economic downturns.
• The people of Thanjavur also invest in other forms of gold besides physical gold. Depending on their goals, consumers prefer different gold investment options, such as gold equity-traded funds (ETFs), digital gold, and gold mutual funds.
• Individual investors mainly favour gold ETFs as they involve fewer expenses than buying physical gold and reflect the current prices without distortions, owing to geographic location demand-supply factors.

Understanding 916 Hallmarked Gold in Thanjavur 

As mentioned earlier, the price of gold varies according to its grade or purity. The World Gold Council states that the purity of 24K gold is 99.9%, and that of 22K gold is 91.67%. Gold having the 916 hallmarks denotes 22K gold (916 = 91.6% purity). It is commonly used to make jewellery. Such jewellery should have its hallmarks verified by the Bureau of Indian Standards (BIS).

There are 4 things you should look for before purchasing gold items to ensure their purity -

• BIS emblem
• Year of Production
• Identification Number or Mark of the Jeweller
• 916 Hallmark

Factors Affecting the Gold Prices in Thanjavur

• Rupee-Dollar Impact: The price of gold is affected by changes in the Indian rupee's value in comparison to the US dollar. The price of gold increases when the value of the Indian rupee falls.
• Government Taxes: There are several taxes applied while purchasing gold in Thanjavur, which include customs duty (12.5%), Goods and Services Tax (3%), Social Welfare Surcharge (10% of the customs duty), and Agriculture Infrastructure and Development Cess (2.5%).
• Demand: High local demand can increase the price of gold, especially during peak wedding seasons and festivals such as Diwali.
• Geo-Political Factors: In times of political unrest or geopolitical unrest, investors may also view gold as a safe haven, which raises demand for it and consequently its price. Gold is a crisis commodity because it tends to see an increase in demand, whereas other asset classes typically see a decline in value during such crises.