Gold Ratein Kerala
Kerala is among the top consumers of gold in the nation. The gold rate in Kerala has been fluctuating quite a bit since the beginning of the year. In January, while the growth in the Kerala gold rate had been largely positive, certain fall in the price of gold was also recorded due to mismatch between expected and actual demand from the overseas. With initial decline in prices, the gold rate in Kerala has been more or less stagnant throughout the month, owing to the demand of the precious metal in local markets. Unlike many other parts of the country, gold rate in Kerala was subjected to very little fluctuations in the month of February. While gold rates have been optimum in the first two weeks of March, current gold rate in Kerala has been subjected to increase and decrease due to varying demands and decrease in the US dollar.
Gold Price in Kerala
Buying gold is an auspicious act in India, and is something that is done by many people despite the financial investment involved. Gold is more than an investment for most Indians, it is a desire. However, looking at it purely in terms of investment, having a moderate amount of physical gold to your name is a good thing.
Much like the equity shares, bonds and real estate, gold is an asset. And just like the others, the value of gold varies every day. Actually, the rates are also influenced by region of the country and its quality.
GST Impact on Gold Rate in Kerala
With an aim to bring a uniform tax scheme across the country, Goods and Services Tax (GST) Act was implemented on July 1, 2017. The government tried to set a positive intent that GST has the potential to establish India as a global gold and jewellery trading hub.
When the jewellery industry welcomes 3% GST on gold, the effect is quite visible where previously tax on gold was 2 % in most states, including 1% excise duty and 1% of the VAT. This 1% increase will be on the customer, which means a slight increase in gold rate will be paid by the consumers. But, Kerala, which used to pay 5% VAT on gold, highest than the other states, will see some benefits. The tax after GST comes down from 5 to 3 percent.
Invest in Gold in Kerala During Onam
In Kerala, apart from other investment options available for gold, investing in gold during Onam has been a tradition for years. Onam is one of the biggest festivals, celebrated with great elan, in Kerala. This festival is famous as a harvest festival where 10 days is devoted as a tribute to the King Mahabali. Celebrated across different communities in Kerala, the carnivals, folk song, dances boat races and flower decorations make it a treat for ones eyes.
Considering the importance given to it, it comes as no wonder that there is a tremendous spike in gold sales during this time. No doubt, that as gold has been treated as the most auspicious metal in India, its demand remains sky-high during Onam. Elders greet children and gift gold coins, women adorn themselves during the festival with gold jewellery, and some start investing in gold etc. Thus, gold is always a part and parcel of this festival. Even jewellery retailers provide exciting offers across the country on the gold rate to attract the customers.
It has been noticed that gold goes hand in hand with religious occasions when people think it is an auspicious time to purchase or invest in gold to welcome prosperity. Kerala is no exception though.
The online purchase of this metal is also very popular with most of the retailers offering their items online at attractive prices. If you are among those who are looking to buy gold either as an investment or as jewellery, Onam is the best time to grab the attractive offers and to invest in something precious.
Facts that Help Buying Gold Jewellery in Kerala
No wonder Kerala claims of an excessively high consumption of gold! This place worships gold and when it comes to gold jewellery, Kerala has more than a thousand gold and jewellery shops that embellish the state. From the birth of a child to a birthday, religious occasions to a big fat wedding, people prefer to adorn themselves with this glittering metal. For ages, most of the Keralites (term to indicate local people) have either invested in land, a house or simply gold.
Since Kerala never experiences a recession, it is always been an attractive hotspot for the other states due to the thriving gold industry in Kerala. However, one must aware of some facts while buying gold jewellery in Kerala.
- The gold market in Kerala is of around 20 crores and the daily business of a branded gold store is approximately 1-5 crores.
- Thrissur is famous for its contribution towards jewellery manufacturing and considered as the centre point for the same. It employs thousands of locals and is the main jewelry manufacturing town that employs thousands of local craftsmen and goldsmiths.
- The best time to buy gold in Kerala is during the annual Kerala Shopping Festival when one can avail gold at discounted rates.
- The gold designs range from traditional to modern make shopping for this precious metal in Kerala an excellent experience.
- Over 5000 jewellers and metal retailers thrive here with over 40,000 people involved as artisans of gold jewellery.
- Go for 24 and 22 Karat which is the purest form of gold containing 99.9% and 92% pure gold respectively.
- Always look for a BIS hallmark to check the purity of gold. BIS hallmark stands for the purity of gold and signifies that government-authorized centres have verified the quality of the same. People bring gold from Gulf countries, the quality of which differs from the quality of gold that is sold in Kerala. SO, BIS hallmark is the proof that youre buying the pure form of the gold and are not being cheated.
- Insisting on fixed making charges could be a way to buy gold at a cheaper price as making charges are a reflection of today gold rate in Kerala and jewelers may impose higher charges than necessary.
- Do a thorough research on the jewellery shops in Kerala before buying gold form these. Purchasing from small shops can be a risk sometimes as they may offer you impure gold or could sell inauthentic artifacts. Better to approach a reputed jeweler who guarantees their gold.
Factors that Influence Gold Rate in Kerala Today
In the state of Kerala, gold, silver and precious stones has always been in high demand. The gold price in Kerala can be checked online on multiple resources. You can actually view the minimum and maximum value it reached in a month and also the silver rate in Kerala.
Mostly, the global market has a great influence on todays gold rate in Kerala. If the international market sees a rise in price, Kerala gold rate increases as well and vice versa.
However, the local festivals, special occasions or wedding seasons also determine the possibility of a rise in gold rates. Since people in Kerala are so completely obsessed with gold and generally buy lots of this precious metal . As the demand increases during festive seasons and so does the price. Again, Keralites are huge fond of adorning themselves with gold jewellery during marriages. So, whenever wedding season arrives, the gold rate in Kerala today reaches its peak.
Historical Gold Prices in Kerala
- Highest Price Ever : Rs. 24,160 on 14th, 15th and 16th September 2012
- Lowest of last 4 years : Rs. 18,720 on 6th August 2015
Gold in Kerala witnessed its highest price in the year 2012 which was Rs. 24,160 for 8 Grams / 22 Carat) (Rs. 3020 for 1 Gram) on 14th, 15th and 16th of September. It was the first time in the history that prices went above Rs. 20,000 in August 2011 and followed the trend until 2012. About two years it remained the same until it dropped down in the year 2013 to below 20,000. It again came up in July 2013 up to Rs. 23, 280. It was 2014 when gold price in Kerala went down to 23,000 but it was still above 20,000. In 2015, again it saw downfall and came down to Rs. 19,000. August 6th, 2015 was the day when the lowest gold rate in Kerala recorded was 18,720.
Latest News on Gold Rate in Kerala
Gold Rates Higher in Kerala
Global market prices influence the gold rates in Kerala. Therefore, if the gold prices hike in the international market, then gold rates in Kerala also experience a rise and vice versa. During festivities and special occasions, the prices of the gold in Kerala experience some fluctuations because of the increased demand of the precious metal.
As per the international markets, the Gold prices were high during this session as compared to the previous one. Gold was seen trading at Rs.26,600 for 22 karat gold, and 24 karat gold was trading at Rs.29,018. The local shops in Kerala saw an increase in the gold prices by 0.4%. Multi Commodity Exchange opened Rs.63 higher. Currently, gold prices have risen to Rs.26, 600 (22 karat) and Rs.29, 018(24 karat gold). The gold prices in the city have been trading at a tight range since last 10 days.
Gold Rates Steady in Kerala
Gold is considered to be a great investment option and due to its relevance in religious ceremonies; the precious metal is considered to be quite auspicious. In the beginning of 2017, the gold prices in Kerala have been quite favorable. Global gold rates highly influence the gold prices in Kerala. Due to a disparity between the demand and supply of the commodity in the international markets, the prices dropped down.
As per the global markets, the gold prices have been quite stable in comparison to the earlier session. Ahead of the U.S. tax code amendments, dollar stood weak in the global markets which dropped the gold prices globally. Therefore, in Kerala, the prices of gold remained unaffected at USD 1,253.20 per ounce.
All these factors influenced the domestic gold rates. The gold rates at local shops in Kerala remain firm at Rs.26, 700 per gram for 22 karat; 24 karat gold was seen trading at Rs.29, 127 in the city.