Gold is the most popular investment choice for people in India, making it a commodity always in demand. With a wealthy and educated population, Pune is an excellent destination for investing in precious metals like gold. This Maharashtrian city has many gold showrooms and shops that witness huge crowd gatherings, especially during festive and wedding seasons.

Given the world gold rates, fluctuating demand, and market trends, the gold rate in Pune keeps changing daily. Read on to explore different aspects of gold investment and find out today’s gold rate in Pune.  

The Scenario of Gold Investment in Pune

With technology and education as core industries, Pune is an important development centre in Maharashtra. This is one of the reasons impacting today’s gold rate in Pune being on the rise and a lucrative investment option. Despite the rising rates, people’s participation remains undeterred due to the great returns and reliability of gold’s value compared to other investments. 

Although gold in Pune is majorly demanded for industrial use, its investment in the form of ornaments and jewellery is also quite significant. The precious metal is majorly traded in the form of jewellery during festivities, followed by ingots, bullions, coins, and bars. Investors in Pune are also leaning towards gold exchanges. Secured storage and assured gold purity are some of the leading reasons behind the rising trend.

Gold Rate Today in Pune

Gold rate in Pune: Click here

Different Ways to Invest in Gold

There are numerous ways of investing in gold in Pune. Many top mutual fund houses offer Gold ETF (Exchange-Traded Fund) schemes for gold investments. It might be a better investment to buy gold digitally rather than physical gold, as electronic gold investments have a much higher value. Here are some popular investment options for gold in Pune:

1. Jewellery: Though you may not buy jewellery specifically for investment, it can be a valuable asset in times of economic uncertainty. The making and wastage charges must be considered as they can bring down the actual gold value. Also, remember that reselling jewellery at market value is often quite difficult.
2. Bullion Coins: If you have a limited budget, opt for bullion coins which are more affordable than other options. They are a great source of liquid assets as you can sell them easily. With upper-middle-class families being a majority in Pune, bullion coins are turning out to be one of the best investment options.
3. Bullion Bars: Gold bullion bars can be the ideal option if you have a higher investment budget. Weighing nearly 1 kg, these bars are known for their high purity levels (about 99.5% pure). Gold bars have been the most sought-after investment option amongst the high-net-worth individuals of Pune.
4. Allocated Gold Accounts: While owning gold can be a valuable investment, it might not always be wise to store it in home lockers, as was considered the norm previously. This is a prominent reason why an allocated gold account comes in handy. When you invest in an allocated gold account, you can rest assured that your gold will be safe with the bank.

Factors Influencing Gold Rate in Pune

The value of gold is influenced by various factors like exchange rates, the movement of the US dollar index and interest rates. Gold and the USD value are inversely correlated to each other. When the dollar value falls, the gold value rises and vice versa.

So when it is likely that the US dollar will strengthen against other currencies, be assured that the gold prices will plunge. Here are some other factors that affect the gold rate in Pune today:

1. Gold Reserves: In addition to cash reserves, the RBI (Reserve Bank of India) also maintains the country’s gold reserves. So when the supply of money increases and the supply of gold decreases, it results in increased gold rates.   
2. Inflation Rate: Being the safest and most stable investment option, the demand for gold shoots up during inflation. This, in turn, increases gold prices as well.
3. The Scenario of the Jewellery Market: People buying gold ornaments or items during festivals and marriage season is prevalent throughout India. It’s no surprise that the jewellery market rakes in huge profits at such times. This can have a great impact on gold prices.   
4. Mutable Interest Rate: As humans, we always try to get the most out of anything. So, when there’s an increase in interest rates, there is a noticeable trend to sell gold to gain more cash. This increases the gold supply, which results in a fall in gold prices.  

Taxation on Gold in Pune

There are certain duties and taxes levied on the purchase of gold in Pune. The customer has to bear 3% GST levied on the price of the gold and a making charge of 5% GST levied on gold ornaments. The making fee includes the cost of moulding raw metal into jewellery.

In addition to these, all gold imports to India are subject to certain import duties that include Infra and Agriculture Tax (2.5%), Customs Duty (12.5%), and Social Welfare Surcharge (10% of Customs Duty).   

Alternatives to Gold Investment

Purchasing gold is undoubtedly a great way to diversify your investment portfolio. It is considered to be a stable investment. However, considering that today’s gold rate in Pune is highly volatile, it is always recommended to explore other investment alternatives for long-term financial growth.

Let’s take a look at some alternative investment options for your specific needs:

• Cryptocurrency: Being digital forms of money, cryptocurrencies have gained immense popularity among investors across the globe. Some famous cryptocurrencies include Litecoin, Bitcoin, and Ethereum. These are stored in a massive decentralised database known as the blockchain. 
• Real Estate: Real estate is more stable than gold investments. When the market fluctuates, you can easily purchase or sell properties to get your money out in time.
• Equity Market: Ideal for a short-term investment, the equities market offers public shares of insurance companies, software companies, banks etc. Profit can be realized in the form of dividends, stock appreciation, etc.
• Commodity Market: When it comes to long-term investment, the commodity market is one of the best alternatives to gold investment. You can buy materialised products like gas, metal etc., here. In these investments, international prices and the US dollar rate determine your profits.

Wrapping Up

With many people migrating to Pune in the last few years, there has been a steep rise in demand for gold in this Maharashtrian city. Given the fluctuating demand, the gold rate in Pune keeps changing regularly.

With more than 200 members, the Jewellers Association and Indian Bullion declare gold prices based on “buy” and “sell” rates quoted by the city’s top dealers. As gold is imported into Pune, state taxes, import duties, and global market fluctuations become essential price determinants. Therefore, if you’re planning to buy this precious metal, don’t forget to check today’s gold rate in Pune.

FAQs

Q. What is the gold rate today in Pune for 24 carat?

The gold rate today in Pune is INR 5,967 per gram for 24 Carats as of 29th March 2023.

Q. Is 916 hallmarked gold worth buying?

916 hallmarked gold is a 22-carat gold (91.6% pure) used in jewellery making. It is best to buy hallmarked gold while purchasing gold ornaments as you can rest assured about the gold purity.   

Q. What are the things to consider before buying gold in Pune?

Before purchasing gold, you should check the labour charges, purity level, gold certification, gold price and the right time to purchase gold.

Q. Today gold rate in Pune keeps fluctuating. What is the reason behind this?

Gold prices fluctuate due to these reasons – demand and supply, government policies, central bank actions, international trends, and currency changes.

Q. What is KDM gold in Pune?

KDM is an alloy of cadmium and gold mixed in a ratio of 8% and 92% individually. Due to the difference in melting point of gold and solder material (used for jewellery designing), cadmium is used for gold crafting, which is called KDM.