Gold Price Delhi, August 2, 2022: Marginal Dip In Gold, Big Fall In Silver Prices

Gold prices declined by Rs 289 to Rs 51,877 per 10 grams in the national capital on Tuesday, according to HDFC Securities. The precious metal had closed at Rs 52,166 per 10 grams in the previous trade, according to a PTI report.

Silver also fell sharply by Rs 841 to Rs 58,480 per kg from Rs 59,321 per kg in the previous trade. In the international market, both gold and silver were trading flat at USD 1,771 per ounce and USD 20.25 per ounce, respectively, added the PTI report.

"Gold prices pared early gains on firm dollar over possible tension between the US and China," said Tapan Patel, Senior Analyst (Commodities) at HDFC Securities.

How much of gold can you bring to India when traveling from abroad?
Indians have a strong obsession for gold. People in India love to invest in gold whether it is a special occasion or festival. The demand for gold surges in India sharply during festival and wedding seasons. As a result of high demand for gold, India finds itself as the world's second biggest gold consumer after China. The strong portion of gold imports in India is largely driven by the jewellery industry. As per reports, the gems and jewellery export has increased by nearly 50% in 2021-22 to USD 39 billion in India. Gold demand is expected to rise 11% for the year 2023. In the year 2020, the demand for gold rose by 2020 in India

There are several factors that impact the prices of gold in India. These factors are festival season, wedding seasons, inflation, interest rate, government policies, and global factors, among others. The demand for gold plays an important role in deciding the price of gold in India. If demand for gold dips, the price falls too and vice-versa.

There is direct relationship between demand and prices of gold. Higher the demand, higher the price of gold, lower the demand for gold, lower the price. Currently, the price of 24 carat of gold stands at Rs 51,170/10 gram while the price of 22 carat of gold is recorded at Rs 46,880/10 gram. Yesterday, there was a surge of Rs 330 in the prices of gold.

Key Benefit of gold: One of the major benefits of gold as an asset is that it is highly liquid and portable. Citizens can conveniently convert gold into cash when any unforeseen situation arises. Indians love to invest in gold when they travel abroad as a result of lower rates and availability of higher quality. But in the last few years the imposition of custom duty and restraining circumstances have discouraged many from carrying gold to India.

Is it legal to carry gold to India?
It is legal to carry gold to India however there will be some specific restrictions on the quantity. The quantity of gold allowed in India and the custom duty to be paid will be determined by the residency status and duration of stay abroad.

How much of gold can you bring to India without paying any custom duty?
According to nriguides.com, if you happen to be an Indian passenger and living abroad for more than one year, you shall be permitted to carry jewellery to India without paying any duty up to the following aggregate weight:
20 Grams, subject to maximum value of Rs 50,000 (if it s a male passenger)
40 Grams of gold, subject to maximum value of Rs 100,000 (if it is a female passenger)
If it is male, female, and stayed abroad for less than a year for any type of gold, there will be no free allowance, as per nriguides.com.