Gold Rate Today in India — Live 24K, 22K & 18K Prices

India's Gold Market in 2026: Size, Demand & Global Position

India is the world's second-largest consumer and importer of gold after China, with annual demand consistently in the 700–850 tonne range. In the first quarter of 2026, India's gold demand value reached a record $25 billion, nearly doubling year-on-year, as per the World Gold Council. Average monthly gold imports rose to 83 tonnes in the first two months of 2026, up sharply from a 53-tonne monthly average in 2025 — driven primarily by strong investment demand and the surge in international gold prices.

The Indian gold market is structurally split across jewellery demand (roughly 60–65% of consumption), investment demand in bars and coins (25–30%), and industrial/dental use (under 5%). Demand patterns are deeply tied to the cultural and religious calendar — Akshaya Tritiya, Dhanteras, Diwali, and the October-to-February wedding season collectively account for over half of annual retail jewellery sales. The trade is structured around a network of BIS-hallmarked jewellers, wholesale bullion markets, government-regulated digital gold platforms, Sovereign Gold Bonds traded on NSE/BSE, and exchange-traded funds.

Gold Import Duty in India: The May 2026 Hike Explained

India produces almost no gold domestically — over 99% of consumption is met through imports — which makes the import duty one of the single largest variables in the retail gold price. The new 15% duty is the highest level in over a decade and is expected to add roughly ₹1,300–1,500 per 10 grams to retail prices at current international rates, before GST and jeweller margins are layered on top. The duty applies to gold bars, coins, jewellery, and jewellery findings.

India's gold import duty timeline (recent history)

Historically, higher import duty has correlated with an uptick in unofficial gold inflows and a divergence between Indian retail prices and global benchmarks. The Reserve Bank, customs authorities, and the Directorate of Revenue Intelligence monitor this closely. The duty regime can change again with any subsequent Finance Ministry notification — always verify the prevailing rate before computing landed cost.

How Gold Prices Are Determined in India

The retail gold price you see at a jeweller in Mumbai, Delhi, or Bangalore is the end result of a five-step calculation. Understanding each step helps explain why prices move and why they vary slightly across cities.

Step 1: International spot price (LBMA, USD per troy ounce)

The London Bullion Market Association (LBMA) AM and PM gold fixings are the global benchmarks. All Indian price calculations start from this number, which moves continuously during global trading hours. The LBMA price is quoted in USD per troy ounce (1 troy ounce = 31.1035 grams).

Step 2: Convert to INR using the USD–INR spot rate

The international USD price is converted to INR using the current USD–INR exchange rate published by the RBI and bullion associations. A weaker rupee directly increases the rupee-denominated landed cost, even if international gold prices are flat.

Step 3: Add import duty (currently 15%)

The 10% Basic Customs Duty plus 5% AIDC, effective 13 May 2026, is added to the landed CIF price. This component alone now accounts for roughly ₹1,300–1,500 per 10 grams of gold value.

Step 4: Add 3% GST

Goods and Services Tax of 3% applies to all gold purchases nationwide. This was set when GST was introduced in 2017 and has not been revised since. There is no state-level variation on this rate.

Step 5: Add jeweller margin and making charges

The final retail price includes the jeweller's margin (typically 1–5%) and, for jewellery items, making charges that range from 8–25% depending on design complexity. Bullion bars and coins carry the lowest premium; intricate temple jewellery carries the highest.

Gold Taxes in India 2026: Complete Breakdown

Tax on gold in India applies at two stages: at the time of purchase and at the time of sale. The rules below reflect the position as of 13 May 2026, including changes introduced by the Finance (No. 2) Act 2024 to capital gains taxation.

Taxes at the time of purchase

Taxes at the time of sale (capital gains)

Note: The Finance (No. 2) Act 2024 reduced the holding period for gold to qualify as long-term from 36 months to 24 months for sales on or after 23 July 2024, and revised the LTCG rate to 12.5% without indexation. Older holdings sold before this date follow the previous regime (20% with indexation). Tax positions vary by individual circumstance — always consult a Chartered Accountant before filing.

Ways to Invest in Gold in India (8 Options Compared)

Indian investors have a wider menu of gold investment options today than at any point in history. Each carries a different trade-off between purity, storage cost, liquidity, taxation, and accessibility. The right choice depends on holding period and purpose.

BIS Hallmarking and Gold Purity Standards in India

BIS hallmarking became mandatory for all gold jewellery sold in India from 1 April 2023. Every piece must carry a six-digit alphanumeric Hallmark Unique Identification (HUID) number, which uniquely identifies the item and links it to the BIS-registered jeweller and assaying centre. This is a major consumer protection step — pre-hallmarking, under-karatage (jewellers selling 18K as 22K) was a documented problem.

Gold purity grades you will encounter

About "KDM" gold

KDM (Cadmium-soldered) was a popular term for 22K jewellery historically. BIS phased out cadmium soldering due to its toxicity — cadmium is a heavy metal carcinogen. Modern hallmarked 22K jewellery uses BIS 916 marking and soldering that meets BIS purity standards. If a jeweller offers "KDM" jewellery today without a BIS hallmark, treat it as a quality warning sign.

How to verify a hallmark

A valid BIS hallmark consists of four marks: the BIS triangular logo, the purity grade (e.g., 916), the six-digit HUID code, and the jeweller's identification mark. The HUID can be verified on the BIS Care mobile app — enter the six-digit code and it returns the item details, jeweller name, and assaying centre. Any jewellery sold without a HUID is non-compliant.

Major Bullion and Jewellery Markets in India

India's gold trade is concentrated in a handful of historic bullion clusters that have set regional pricing benchmarks for over a century. These markets are where wholesale dealers, jewellery manufacturers, and large investors transact in bulk.

India's Gold Demand: Festivals, Weddings & Seasonality

India's gold demand follows a remarkably consistent seasonal pattern tied to the Hindu, Sikh, and regional cultural calendars. Understanding this rhythm helps investors anticipate price pressure and helps consumers plan purchases around demand peaks (when premiums rise) and troughs (when jewellers offer discounts).

Annual demand calendar

• January–February — Wedding season tail, demand stays elevated in South and West India.
• March — Lean demand month; jewellers often run promotional schemes.
• April–May — Akshaya Tritiya is the single largest auspicious gold-buying day of the year. Demand can spike by 50–80% over a normal day. Falls on the third lunar day of the bright half of Vaishakha (mid-April to mid-May).
• June–August — Generally low demand. The wedding lull and monsoon period drive lower foot traffic. Akshaya Tritiya effects have faded.
• September — Onam in Kerala drives strong South Indian demand.
• October–November — Navratri, Dussehra, Dhanteras, and Diwali form the strongest 6-week gold demand window of the year. Dhanteras alone typically accounts for 20–25 tonnes of single-day national sales.
• November–February — Peak wedding season nationwide. Bridal jewellery purchases drive sustained demand.

Regionally, South India (Tamil Nadu, Kerala, Karnataka, Andhra Pradesh) accounts for over 40% of national gold consumption, with the highest per-capita demand in the country. North and West India follow, with East India a smaller but growing market.

RBI Gold Reserves and Central Bank Buying

The Reserve Bank of India holds gold as part of India's foreign exchange reserves and has been a consistent net buyer in recent years. As of early 2026, RBI gold reserves are at multi-year highs, reflecting a broader trend among emerging-market central banks (China, Turkey, Poland, India) accumulating gold as a hedge against dollar dependence and geopolitical risk.

A significant share of India's sovereign gold is now held domestically — in 2024, the RBI completed the repatriation of over 100 tonnes from Bank of England custody to vaults inside India, a strategic move to reduce custody risk during periods of geopolitical tension. Central bank buying globally has been a structural support for gold prices since 2022, with annual central bank purchases exceeding 1,000 tonnes for three consecutive years per World Gold Council data.

How to Buy Gold Safely in India: A Checklist

Whether buying jewellery, coins, or bars, the following checks substantially reduce the risk of paying for under-karat gold or facing tax issues later.

• Verify the BIS hallmark — look for all four marks (BIS logo, purity grade, six-digit HUID, jeweller mark). Cross-check the HUID on the BIS Care app.
• Insist on a proper GST invoice — it must list HSN code 7113 (jewellery) or 7108 (bullion), gold purity, weight, making charges separately, and 3% GST clearly itemised.
• Provide PAN for purchases of ₹2 lakh or more — mandatory under Rule 114B of the Income Tax Rules.
• Negotiate making charges — they are not fixed. Compare across jewellers and ask for a discount on standardised designs.
• Understand the buy-back policy — most reputed jewellers offer buy-back at prevailing gold rates minus a small charge. Read the policy before purchase.
• Avoid wastage charges on machine-made or standardised jewellery — wastage was a manual-craft-era concept and is often inflated today.
• For investment-grade gold, prefer 24K bars or coins from BIS-certified refiners (MMTC-PAMP, RSBL, Augmont) or reputed bank-sold coins.