written by

Rajasthan, the land of the royals, Rajputs and Rajavadas, is heavily dependent on tourism. Its many historical palaces and forts stand as proof of its rich heritage and gold is a major part of it. Gold is looked at as a symbol of the Sun in Rajasthan. Men and women both are fond of wearing jewellery, and gold jewellery is one of the main commodities bought and sold there.  

With changing times gold has become one of the most stable investment options across the country. People not only buy gold jewellery for festivals or weddings but include gold in their investment portfolios. Rajasthan is no different. So, let’s look at what makes gold such a good investment option at the present gold rate in Rajasthan?

What is Today’s Gold Rate in Rajasthan?

The current gold rate in Rajasthan as of 18th October 2021, or the 22-carat gold rate in Rajasthan today, is Rs 4,534/gm. The 24-carat gold rate in Rajasthan is Rs 4,761/gm. In comparison, to ten days ago, gold prices have increased. 

Gold Rate in Rajasthan For The Last 10 Days

Here’s how the 22k gold rate today in Rajasthan and 24-carat gold rate in Rajasthan have performed over the last 10-days. 

Date

10 Gram (22 K)

10 Gram (24 K)

17 October 2021

 

Rs. 45340

 

Rs. 47610

16 October 2021

 

Rs. 45340

 

Rs. 47610

15 October 2021

 

Rs. 45940

 

Rs. 48240

14 October 2021

 

Rs. 45940

 

Rs. 48240

13 October 2021

 

Rs. 45290

 

Rs. 47550

12 October 2021

 

Rs. 45040

 

Rs. 47290

11 October 2021

 

Rs. 45040

 

Rs. 47290

10 October 2021

 

Rs. 45040

 

Rs. 47290

9 October 2021

 

Rs. 45040

 

Rs. 47290

8 October 2021

 

Rs. 45040

 

Rs. 47290

 

Historical Prices of Gold Rate in Rajasthan 

Months

Lowest Price 24 Carat Gold Rs. Per 10 Grams

Highest Price 24 Carat Gold Rs. Per 10 Grams

September 2021

46,400

47,920

August 2021

46,710

48,340

July 2021

47,920

52,650

Tip: The gold rate in Rajasthan may rise and fall, though the performance of gold shows a steady rise upwards over longer terms.

Factors Affecting the Gold Rate in Rajasthan

While investing in gold, all investors seek safety, liquidity, and return on investment. Even in an economic downturn, gold has shown positive results. However, like any other commodity, there are different factors that affect its prices irrespective of the location. They 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 Price of Jewellery

Consumers and investors are more concerned with the rate at which they can purchase gold for social or investment purposes. While the final price cannot be determined by a standard method, there is a requirement to know what MCX and IBJA are before we can understand gold rates in Rajasthan today. 

MCX stands for Multi Commodity Exchange. In many ways, it works like a stock exchange, such as the BSE, by trading commodities futures contracts. Gold prices are affected by the trading activities of big traders at the MCX, such as bullion dealers and banks. The final gold price is influenced by factors such as international gold prices, rupee-to-dollar exchange rates, and supply and demand at MCX trading. 

The Indian Bullion Jewellers Association (IBJA) determines daily prices through consultations with the top 10 gold dealers in India, but the MCX provides the market with future gold price trends.  

Small jewellers determine their prices individually. A making charge is added to ornaments by jewellers in Rajasthan after 12.5% customs duty and 3% GST are applied to gold prices per 10 grams. 

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

Gold Investment Options in Rajasthan

Its cultural significance aside, gold is a sound, long-term investment that can protect you against the market and currency fluctuations. There are various modern ways of investing in gold that can give you better returns.

Physical Gold: You can invest in gold bars, coins or jewellery. You can buy it from jewellery shops. However, when buying gold jewellery designing and making charges add to the buying price over and above the gold rate in Rajasthan. Also, you need to pay for insurance and safe storage as well. 

Digital Gold: In simple terms, digital gold is gold in electronic form. Platforms like Khatabook, allow you to invest in digital gold. You keep buying small amounts of digital gold online and an equal amount is kept safe in a vault under your ownership. Upon maturity, these units of digital gold can be exchanged for actual gold either in the form of jewellery or 24K pure gold at the gold rate today in Rajasthan.

Gold Mutual Funds: AMCs or asset management companies manage gold mutual funds which invest in ETFs and follow the mutual fund structure. This money is not invested in actual gold but in companies involved in the gold industry. Hence the returns depend on company profits and not the gold itself.  

Gold ETFs: Gold Exchange Traded Funds are paper representations of physical gold and almost like shares. You can trade with them on major stock exchanges. 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, which is evaluated at the 24-carat gold rate in Rajasthan today.

Sovereign Gold Bonds: A SGB is a bond that the Reserve Bank of India issues on behalf of the Government of India. Public and private banks offer these bonds to their customers. The bond prices are linked to the gold rate in Rajasthan. Even though these bonds are guaranteed by the Indian government and pegged to the actual gold prices, you get no physical gold on maturity.

Comparative Analysis of Gold Investment Options

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

Gold Investment Type

Benefits

Risks and Disadvantages

Physical Gold

  • Assurity of possession and minimum paperwork hassles.
  • Can be used for ornamental purposes if bought in the form of jewellery.
  • Hallmark or BIS Certificate of authentication is present.
  • No Demat account required
  • Theft
  • Additional making charges and GST@3%.
  • Loss during jewellery making.
  • Purity issues.
  • Proof of authentication is a must for selling.
  • Larger investment capital required.
  • Fluctuation in market prices.
  • SIP is generally not available.

Gold ETFs

  • No burden of trading in physical gold and no risk of theft, as the investor can keep it saved in their Demat accounts in paper form
  • Great for those interested in trading but not in shares.
  • Demat account required to trade
  • Paperwork and documents required
  • No SIP available
  • Changes in physical gold prices which affect ETF prices
  • Brokerage and asset management charges involved

Gold Funds

  • Investment is done in gold mining companies stocks.
  • SIP options available.
  • Cushions your investment from the actual gold price fluctuations.
  • No risk of theft or loss in transition.
  • Low investment capital required.
  • No need for a Demat account.
  • Good for those looking for high returns.
  • Paperwork required for trading
  • Charge to manage gold funds are involved

Digital Gold

  • No risk of theft since it is paper-gold till the time of delivery
  • Gold kept in insured vaults until it is delivered
  • Can be purchased in small amounts and fractions of 1 gm.
  • Transparency in pricing and no extra surcharge or making charges are involved
  • No insurance required since the gold is kept safe on your behalf
  • Can start investing with as small an amount as Rs 1/- on platforms like Khatabook.
  • The gold rate in Rajasthan 916 affects the price directly.
  • Requires a Demat account

Comparative Analysis of Gold Versus FD Investment Options

Here’s the performance comparison of gold investments versus FDs.

Risk Factor: In terms of risk, both fixed deposits and gold are considered low-risk investments. In the short term, gold can fluctuate, but its value has remained relatively constant. Gold has served as a hedge against inflation and the decrease in currency value, making it a worthwhile investment in the long run. In contrast, FDs are free of external considerations and offer guaranteed returns, but it all depends on the length of time you invest. 

Monthly Income Generation: Gold investments do not generate monthly income. Investing in gold can create wealth over time along with acting as a hedge against volatility, and can become very valuable over time. FDs can, however, provide monthly returns if you choose periodic payments and monthly frequency. 

Premature Closure and Liquidity: Gold is a high liquidity investment that is easy to sell. Physical gold can be exchanged for digital gold units, while the liquidity of FDs depends on the bank's policies. Gold provides you with early liquidation and gold loan options. On the other hand, the sudden closure of FDs results in a penalty of 1% of interest earned.

ROI Analysis: Over the last 30 years Gold has provided a CAGR of 9.8%. However, FDs have provided a CAGR of around 8%. In Rajasthan, if you had bought gold every Teej over the past 5 years, according to an ET Wealth report, you would’ve earned 18% CAGR in returns in the current year. However, similar analyses of FD’s interest rates, which are linked to the terms and conditions set at the time of opening the account, offer an annual rate of 5-6% with an additional 0.5% for senior citizens.

Important Factors When Buying Gold Jewellery

Since gold jewellery is the most prevalent kind of investment done across the country, here are a few things to keep in mind before investing your hard-earned money:

  • Hallmarking, Purity levels and BIS certification: The Hallmark is used by companies to denote the gold quality used and generally contains the BIS rating, logo etc. The BIS or Bureau of Indian standards certifies the purity of gold. It is the benchmark for gold jewellery quoted at the 22-carat gold rate in Rajasthan today. BIS-916 means it is 22K gold and 91.67% pure gold. Checking the purity means to ensure the gold is quality gold versus the 24K gold rate in Rajasthan and is BIS certified which is important to check when buying.
  • The daily gold rates: 22k gold rate today in Rajasthan along with other levels of purity, changes every day. Each day IBJA starts the trading day by announcing the gold price for the day. Local gold associations take that into consideration to determine gold rates in Rajasthan. You should be aware of these, like the 18-carat gold rate in Rajasthan today before you buy any piece of jewellery. 
  • Try Not to Sell: Usually, gold is bought with utmost care in Rajasthan, since gold is considered an heirloom passed on from one generation to another. However, life can be unpredictable. You should try to sell your jewellery to the same jeweller you bought it from. Jewellers mostly will give you 100% of the gold value, however, you’ll have to let go of any taxes or making or wastage charges paid at the time of purchase at the prevailing gold rate today 22K in Rajasthan.
  • Know your gold: Gold jewellery is generally 22K. Note that white and rose gold prices may be higher than the daily gold rates due to processing and making charges
  • Wastage and Making Charges: All jewellers charge a making charge to offset labour costs associated with jewellery. In most cases, making charges are based on the current or today’s gold rate in Rajasthan 916. Jewellery without much design carries a lower making charge (which can vary from 6 to 25%).
  • Factory Made or Hand Crafted: Factory-made gold jewellery is lower in price since the labour involved in making these is less. These are mass-produced and are usually not uniquely designed.

Tip: Buy 916 jewellery since it fetches better resale prices than the 18K gold.

Types of Gold

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

Investing in gold in any form comes with a promise of good returns in the long run. However, for most investors it is not possible to shed a hefty amount every month to buy gold coins or gold jewellery. Digital gold gives you the option to own real gold without taking the hit of a huge monthly or quarterly expenditure. You can start buying digital gold with as low as Rs 10 investment. It might not seem much when you start. However, say, over a period of 10 - 20 years, you can accumulate a substantial amount of actual gold, safely kept in an insured vault until you are ready to get it delivered to you. Platforms like Khatabook offer units of digital gold. 

Trading Digital Gold

It is possible to sell digital gold from home or even convert it into physical gold when you want. All you need to do is enter the weight of the gold and choose the sell option using your mobile phone. With a few clicks of the phone, you can order gold jewellery to convert your digital gold into physical gold. 

What is a Gold Loan?

A gold loan or a loan against gold is available from several banks, gold companies etc and is the fastest and most accessible short-term loan acquired at the gold rate today in Rajasthan. One can pledge gold in jewellery, coins, gold bars etc.. from 18 to 24K, and obtain a secured short-term loan of up to 90% of today's gold rate in Rajasthan. It must be repaid-with interest within the specified time. Digital gold can be converted to physical gold and used for loan purposes. A default in repayment leads to you forfeiting your gold.

Locations to Buy Gold in Rajasthan

Gold jewellery can be bought at today’s gold rate in GRT Rajasthanacross its major cities with reputed jewellery stores. 

Jeweller

Location

Chandni Jewellers

 Jaipur

Vardhaman Jewellers

 Jodhpur

DP Jewellers

Udaipur

Agrawal Diamonds & Jewellers

Kota

BS  Jewellers

Ajmer

Conclusion

Gold as an investment is no different in Rajasthan or India. Gold is a precious metal that never loses its value and outperforms other financial instruments during a recession. Several factors contribute to the fluctuation of gold prices. Gold is also an excellent safety net and hedge against inflation that can be easily liquidated. Investors in Rajasthan do have several options to invest at today’s gold rate in Rajasthan 916. Make a wise choice and invest safely in digital gold using a trusted platform like Khatabook

FAQ

What is the current gold rate in Rajasthan?

As of 18th October 2021, the 22-carat gold rate in Rajasthan today is Rs 4,534/gm and the 24-carat gold rate in Rajasthan is Rs 4,761/gm.

 Why are bank gold rates higher than the local jewellers?

Investors in Rajasthan prefer OTC purchases from local jewellers due to a marginally lower price than banks that charge for the quality assurance and BIS marking of gold.

What is meant by E-Gold?

E-Gold is sold and bought from the NSEL (National Spot Exchange Limited) at the gold rate today in Rajasthan live. You can choose to reinvest after the specified date or take physical possession of the gold.

When is the best 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.

What is KDM gold?

KDM gold refers to cadmium soldered gold. It was mixed with gold to make jewellery. However, due to side effects, it is no longer used.

Is Digital Gold safe?

Yes, it is in digital format and stored in an insured locker.

What are the eligibility terms to open a digital gold account?

You will need a bank account, PAN card/ Form-60 to open your account with a platform like KhataBook. 

Should I upload the PAN card mandatorily when buying digital gold?

Yes, if your purchase exceeds Rs 2000/-.