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Located off the coast of the Bay of Bengal in the eastern side of India, Odisha is a culturally rich state. Adding to its credit is the oldest Indian learning institution, the Nalanda University. Like in the rest of India, gold is a popular jewellery choice for auspicious events such as weddings and festivals in Odisha as well.

Therefore, it is important to keep in mind different factors related to buying gold before making a purchase. Some of the vital things to look for are gold rates in Odisha, the factors affecting the gold rates, what are the different types of gold, etc.

What is the Gold Rate Today in Odisha?

The current gold rate in Odisha as of 21st October 2021 is Rs 4,630/gm. The 24-carat gold rate in Odisha recorded on the same day is Rs 4,862/gm. Gold rates change almost every day depending upon various factors. 

Gold Rate in Odisha For The Last 10 Days

Let’s look at both the 22 Carat Gold Rate Today in Odisha and 24 Carat Gold Rate In Odisha over the last 10 days: 

Date

10 Gram (22 K)

10 Gram (24 K)

20 October 2021

 

Rs. 46200

 

Rs. 48510

19 October 2021

 

Rs. 46050

 

Rs. 48350

18 October 2021

 

Rs. 46050

 

Rs. 48350

17 October 2021

 

Rs. 45950

 

Rs. 48250

16 October 2021

 

Rs. 45950

 

Rs. 48250

15 October 2021

 

Rs. 46450

 

Rs. 48770

14 October 2021

 

Rs. 46450

 

Rs. 48770

13 October 2021

 

Rs. 45900

 

Rs. 48200

12 October 2021

 

Rs. 45900

 

Rs. 48200

11 October 2021

 

Rs. 45650

 

Rs. 47930

 

Historical Prices of Gold Rate in Odisha :

The table below gives you a better understanding of how gold rates in Odisha have been changing for the past three months.

Months

Lowest Price 24 Carat Gold Rs. Per 10 Grams

Highest Price 24 Carat Gold Rs. Per 10 Grams

September 2021

47,040

48,560

August 2021

47,360

48,980

July 2021

47,920

52,650

 

Factors Affecting the Gold Rate in Odisha:

Like any other commodity, the present gold rate in Odisha is affected by the basic principles of demand and supply. However, there are a few driving factors affecting the supply chain and in turn the gold rates in Odisha. These are:

Government Gold Reserves  

RBI holds the government gold reserves. When RBI buys more gold, gold prices rise due to an increase in the flow of cash in the market and a decrease in gold supply. 

Inflation 

As gold is compared to currency and holds significant value, it is used to hedge inflation. When inflation is high, demand for gold increases, and vice versa. 

Jewellery Market  

During festivals like Diwali, Akshaya Tritiya, and wedding seasons, the gold rate rises due to increased demand. As a result, when the demand-supply mismatch occurs, it leads to an increase in gold prices. 

Global Movement 

The rate of yellow metal is affected by any global movement in the gold rate. 

Interest rate trends  

With the increase in the rate of interest, people tend to sell gold to get cash. An increased supply of yellow metal leads to decreased rates. However, lower the interest rates; more money in the pockets of customers. Higher the demand and increase in rates of the metal. 

 

Final Gold Price

Though there is no standard way of deciding the final price, we need to understand what MCX and IBJA are, before we can understand gold rates in Odisha today

MCX stands for Multi Commodity Exchange. It is a trading centre for commodities, futures, contracts and works more or less like stock exchanges such as BSE. Trading activities by big traders like bullion makers and banks at MCX affect the gold price every day. Factors like international gold prices, rupee to dollar exchange rates, supply and demand at MCX trading contribute to final gold prices. 

So, while the Indian Bullion Jewellers Association (IBJA) determines daily prices by consulting India’s top 10 gold dealers, MCX provides the market with a future trend of gold prices. Small jewellers determine their prices individually. After 12.5% customs duty and 3% GST is added to the gold prices per 10 grams, the jewellers in Odisha add a making charge to their ornaments. This is the final gold price that you pay when you purchase gold jewellery.

The final jewellery price = gold weight in grams x gold rate in Odisha today (22K or 18K gold) + Making charges (inclusive of 5% GST) + 3% GST  (the price of jewellery + making charges).

Modern Investment Options

In November 2020, despite high gold prices, Odisha did a business of Rs 110 crores in gold retail on the occasion of Dhanteras. Notwithstanding its cultural importance, gold is a sound, long-term investment that can keep you covered during market fluctuations and currency fall. There are various modern ways of investing in gold that can give you better returns.

  • Gold ETFs: Gold Exchange Traded Funds are almost like shares. They are paper representations of physical gold. You can trade with them on major stock exchanges and there is no upper limit on these funds. You can buy them online and keep them in your Demat trading account. These are cost-efficient investment options as there are no overheads like making charges and you can buy these at International gold rates, which are lower than physical gold prices. Each ETF here is equal to 1 gm of gold. 
  • Digital or E-Gold: This is gold in electronic form. Platforms like Khatabook, allow you to start saving small amounts and keep accumulating gold in an insured locker till maturity. You can exchange the certificate for physical gold at the end of the maturity date that Khatabook will deliver to your doorstep in tamper-proof packaging. 
  • Gold Stocks/Shares in Gold Production/Mining Companies: This is an investment in a fund that invests in gold mining companies. Hence the return depends on the company’s profits and not on the gold rate.
  • Futures: These are contracts that specify that a certain fixed quantity of gold will be traded at a specified future date at a predetermined strike/gold rate. 
  • Gold Sovereign Bonds: The SGBs are government-backed bonds released by The Reserve Bank of India which you can buy from private/public sector banks. The bond prices are linked to the gold rate in Odisha. It does offer a 2.5% return and is typically issued for 8 years with a lock-in of 5 years but has no physical gold delivery involved at maturity.

Comparative Analysis of Gold Investment Options

Below is a table to help you understand the benefits and flaws of various gold investments:

Physical Gold

Digital Gold and ETFs

Gold Funds

You buy physical gold Ex: gold bars, coins, jewellery, etc.

You buy online pure gold units and ETFs.

You buy into a fund where the fund is invested in companies in gold mining. 

No Demat account is needed to buy physical gold.

The seller helps you set up a Demat account online. 

A Demat account is not needed to invest in these gold funds.

You pay for what you buy which is GST, wastage, making charges and the weight of gold at the gold rate today 22k in Kerala.

You pay small brokerage fees, asset management charges, and store your gold bought at the gold rate today in Kerala in your account digitally.

You pay fund management charges and get physical gold at the gold rate in Kerala 916 when you liquidate it.

Physical gold is hard to store, vulnerable to theft and incurs insurance charges to protect it.

Digital gold is gold in electronic form and in your account in an insured vault.

Gold funds, too, are paper gold and suffer no risk from burglary/theft.

Just-buy ornaments are readily available.

Simple paperwork when investing is done by the seller firm.

Paperwork is essential and the certificate is important when investing.

You should maintain the purchase receipt.

You keep adding to your insured vault till delivery.

You need to hold the online/offline fund certificate till maturity.

Daily gold rate today in Kerala 22k fluctuates. 

Today's gold rate in Kerala live affects the prices. Learn all about digital gold at Khatabook.

The company stock profits decide the quantity of gold paid out at the 916 gold rate in Kerala.  

 

Comparative Analysis of Gold Versus other Investment Options:

Here’s the performance comparison of gold investments versus other investments like Fixed Deposits.

Factor

Gold

Bank Fixed Deposit

Risk Factor

It is vulnerable to being stolen and involves additional costs in insurance, storage etc.

FD is a low-risk option with a fixed term and low-interest rates are often unattractive during the recession.

 

ROI Analysis

If you make an annual buy of gold for 5 years, historical prices indicate a return earning of 18% CAGR.

FD’s interest rates are linked to the term and offer an annual rate of 5-6% with an additional 0.5% for senior citizens.

 

Premature Closure

Gold provides you with both early liquidation and gold loan options.

In contrast, there is a 1% penalty of the interest earned on the premature closure of an FD.

Liquidity

Gold is a high liquidity investment that is easy to sell. Digital gold units are exchangeable for physical gold,

Whereas, the liquidity of the FD depends on the bank’s discretion.

 

 

Checklist For Buying Gold Jewellery

Are you planning to buy jewellery at today’s gold rate in Odisha 916? Here are a few points that you need to check before your purchase.

  • Hallmark and purity Levels: Make sure you are paying for the right kind of purity. It should not happen that you pay the 24K gold rate in Odisha for 22K gold jewellery. It is important to check the hallmark to check the gold purity level and gold quality. This has a direct bearing on the price you pay. For example, the famous 916 gold is nothing but 22K gold, which contains 91.6% gold and 8.4% other metals. 24K, which is the purest form of gold available, contains 99.9% pure gold. However, Indian jewellery is mostly made in the purity variations of 22K, 18K, 10K, and 14K gold.
  • BIS Certification: BIS stands for Bureau of Indian Standards, which certify the purity of gold. 916 gold is the most popular gold for jewellery with every 100 grams containing 91.6 g of pure gold when the rate is quoted as the 22-carat gold rate in Odisha.
  • Daily Gold Rates: Jewellers use the IBJA rates which differ slightly from the day’s gold rate. Gold prices also fluctuate daily, by location, or even by the moment on the commodities market. You might hence want to check out today's gold rate in Odisha before investing. 
  • Buy-Back Terms: Many jewellery shops offer their customers a buyback service at the current gold rate in Odisha.
  • Wastage and Making Charges: Manufacturers charge a wastage charge depending on the amount of gold wasted during the making of ornaments. These can be within the range of 7% to 25% plus there is 3% GST charged on the additional designing or making changes. 

Types of Gold

Pure gold is 24K, while gold used in jewellery is generally 22K/ 18K.

Comparative Chart for 22K, 24K and 18K Gold: 

    24K Gold

22K Gold

18K Gold

99.94 gms to every 100gms of gold.

91.67 gms to every 100gms of gold.

75 gms to every 100gms of gold.

Yellow 

Yellow 

Depends on the alloy.  

Available as coins/bars. 

Available as coins, bars and ornaments.

Available as gold ornaments.

Used in making jewellery, for industrial purposes, and in medical measuring devices.

Used in gold ornaments making.

Used in gold ornaments making.

Most pure and expensive.

Lower purity and costs compared to 24k gold.

Lower purity and cost compared to 24 or 22K gold.

 

Digital Gold

A digital gold investment instrument lets you invest in 24 Karat pure gold, which you own, and have stored in your own secure vault. You can exchange digital gold for 24 Karat gold coins and ingots that are the purest form while purchasing them online. You can start buying digital gold at the day’s price with as little as Rs 10 on platforms like Khatabook digital gold which even sells fractions of gold units.  

Trading Digital Gold

Several mobile e-wallets allow you to buy digital gold. At present, digital gold is offered in India by Khatabook and some other platforms as well.

You can then perform the following steps for buying digital gold:

1. Select the amount of gold you want to buy in INR or grams - You can buy gold by weight at the current gold rate in Odisha or buy gold at a fixed price.

2. Choose a payment option - After completing KYC, you will be provided with multiple payment options including accounts, cards, and e-wallets.

3. Safe deposit of your gold - You can access your gold account at any time and it will be updated instantly.

4. Sell at any time – These platforms give you the option to sell your gold digitally at any time.

5. Physical Delivery of the Gold – If you are not planning to sell the gold, you can request to have the gold delivered to your home as coins or bars. Note: Delivery fees are applicable.

What is a Gold Loan?

Many reputed nationalized banks, banks like HDFC, ICICI, reputed gold companies like Mannapuram, Popular Finance etc offer a gold loan (also known as a loan against gold). The loan is a short-term loan secured by pledging the gold (within a range of 18-24 carats) as collateral. The loan amount which was before 75% was recently enhanced to 90% of the gold pledged. The procedure involves checks on the gold quality and typically takes 2-3 days. The loan interest rates vary from 10 to 13%. A default in repaying the loan in time may cause the forfeit of the gold collateral.

Locations to Buy Gold in Odisha:

Gold jewellery can be bought at today’s gold rate in Odisha across major cities at reputed jewellery stores like:

Jeweller

Location

Bagga Jewellers

Behrampur

Khimji Jewellers

Cuttack

Tanishq Jewellers

Sambalpur

Prasad Jewellers

Rourkela

Hindustan Jewellers

Bhubaneshwar

Conclusion

Financial experts agree that an investment portfolio is healthy when at least a portion of it is held in gold investments. Gold prices do not depend solely on market demand but on a number of factors. Investors also have plenty of options when it comes to investing in gold. The risk tolerance levels and the gold rate in Odisha generally determine the choice of buying options. Invest safely in digital gold using a trusted platform like Khatabook

FAQs:

What is the gold rate today in Odisha?

 The current gold rate in Odisha as of 21st October 2021 is Rs 4,630/gm or the 22-carat gold rate in Odisha today and the 24-carat gold rate in Odisha is Rs 4,862/gm.

Why are gold prices higher in the cities?

The urban 916 gold rate in Odisha tends to be slightly higher than the 22-carat gold rate in Odishas rural areas because of higher gold demand in densely populated areas like Cuttack, Sambalpur, Berhampur etc.

Why does the gold price vary from jeweller to jeweller?

Gold prices vary across the jewellers due to their making charges being different. The city’s gold Association declares the daily gold rate for jewellery.

What are Gold funds?

The Gold Fund investment is in an exclusive fund invested in gold mining companies. Gold funds add a nominal charge as fund management charges to the 916 gold rates in Odisha today. The paper gold suffers no risk of theft. These require paperwork when investing and the fund certificate is needed when trading it in at the maturity value. Gold funds are dependent on the profits made by the gold mining company and not today’s gold rate in Odisha 916.  

What does Hallmark represent in buying gold?

Hallmark refers to the 916 Hallmark certification from BIS (Bureau of Indian Standards)

What are the different varieties of gold?

The different varieties of gold according to their purity are 24K, 22K, 18K, 14K and 10K.

When is the right time to invest in gold?

It is preferable to buy gold when the gold rates are lower than the average gold rates for the period.

Will the gold rate in my state increase or decrease?

Gold rates depend on a number of factors like inflation, demand and supply, interest rates, etc. Changes in these factors affect gold prices. 

How is digital gold different from actual gold when you buy it?

Whether you buy online or offline the gold is yours to own or sell. Digital gold is stored in insured lockers and hence safer to own. Besides, it can be home-delivered at any time you wish.