How is the gold rate in India calculated here?
We take the international spot price of gold in US dollars per ounce and convert it at the live US dollar to Indian rupee exchange rate: price per gram = ounce price ÷ 31.1035 × USD/INR rate × purity of the karat. The value updates every few seconds while the world market is open.
International rate and the local market rate
Gold prices in Indian shops are higher than the international value because India charges import duty on gold (raised to 15% in May 2026) and 3% GST when you buy. The "estimated India rate" column adds the import duty to the international value; GST and making charges come on top. Cities such as Kerala, Chennai, Hyderabad and Mumbai differ slightly because of local jewellers' association rates and transport costs.
How gold is bought in India
Indian rates are quoted per gram and per 10 grams, mostly for 22K (916 hallmark) jewellery and 24K (999) coins and bars. In Kerala and Tamil Nadu gold is also counted in pavan (sovereign), 1 pavan = 8 grams.
Buying gold in the Gulf to take home
Many Indian workers in Saudi Arabia, the UAE, Qatar, Kuwait, Bahrain and Oman buy gold there to take home. The gold value is the same as the world price, but taxes differ: Saudi Arabia charges 15% VAT on jewellery, Bahrain 10%, the UAE and Oman 5%, and Qatar and Kuwait have no VAT. Making charges are added by every shop. Keep the invoice and check the customs allowance of India before you travel.