How to buy gold, diamond or silver jewellery in india. ?

Always check purity:

Whenever you buy gold, silver or diamond jewellery you should always check for its purity and certification. The best way to check for purity is to look for hallmarking logo. A hallmarked item of jewellery tells you the actual proportion of the metal whether its gold or silver. The Bureau of Indian Standards (BIS) is the accreditation agency in india that certifies and hallmarks gold jewellery. Well, Perhaps you thinking that how do you read the hallmark logo? A jewellery piece that has a hallmark logo will come with a number attached to it along with a BIS stamp on it. There also has a jeweller’s identification mark and the year of hallmarking. To understand the carat, look for the letter ‘K’ which stands for karat and the number with it. For example, if it says 22K, it means 91.6% purity or you can that there is 916 gm pure gold in 1000 gm gold. Jewellery is not always made with 22k purity, you can get 18k or 14k as well. For calculate the percentile gold purity from carat weight you should use below formula.

Purity percentile = Printed purity on item X 100 /24

Lets calculate gold price based on above formula.

24K gold -- is the most pure form of gold. Practically, it's 99.95% pure (99.99% pure gold is difficult to find these days). For investment purposes, this is the best gold to buy. It's not used to make jewelry though, as it's too soft to be molded into intricate designs and maintain its shape.

22K gold -- is used to make most jewelry in India, and the designs are so intricate and elaborate! It's 91.67% pure gold (22 parts gold and two parts other metals), with the remainder comprised of silver, zinc, nickel, and other alloys. This gives it additional firmness. Yet, it's still not firm enough to hold gemstones.

18K gold -- is 75% pure gold (18 parts gold and six parts other metals). It's noticeably duller in color than 22 karat gold and much less expensive. Its durability makes it useful for studded, special occasion jewelry.

14 K gold -- is 58% pure gold (14 parts gold and 10 parts other metals). It's more popular in the United States than 18K and 22 K gold, due to its blend of color and strong durability, and is used for everyday jewelry.

Currently, it's estimated that around 30-40% of gold jewelry is hallmarked in India. However, the Indian government is planning to implement mandatory hallmarking of 14, 18 and 22 karat gold jewellery weighing more than 2 grams. Jewelers in India try and mislead customers by telling them hallmarking is a huge expense that increases the cost of jewelry. Actually, it only costs 35 rupees to get a piece of gold jewelry hallmarked. If the gold isn't hallmarked, it's most likely not as pure as claimed. Don't be tricked by big name jewelers!

Now talk about diamonds... yes they are precious and shiney and so the price is. Diamond weight measured in carat. 1 carat of diamond is equal to 0.200 gm. 10th part of carat called cent. one cent is equal to 0.020 gm. For purity, there are no marking facility in india but you can assure you purchase buy getting purity certificate of related jewellery. There are several recognized diamond certification center india. Which are as below :-

GIA ( Gemological institute of America )

IGLI ( International Gemological Laboratories and Institute )

GII ( Gemological institute of India )

IDCL ( Institute of diamond certification laboratory )

EGL India

“You should always check hallmark symbol to understand the authenticity.

Check the pricing:

Gold pricing is determined based on the purity of gold. The rate of gold and silver changes every day based on the market demand and international price in usd. All jewellery seller display the daily bullion rates for the customer as decided by local jewellers association. To give you an idea of how to calculate gold price based on purity, you should first look at the bullion (bullion means 24k opure gold rate) rate and then discount it based on the purity of gold. . For example, the rate of 10g 24k pure gold is 30,854 per 10gm. in your city, then price of 22K gold (91.6% purity) will be around 30854 x 91.6 / 100 = 28,258 per 10gm.

Never hasitate to negotiate making charges:

Jewellery involves labour cost and all jewellers pass on this cost to the buyers in the form of making charges. Making charges are usually a percentage of the current gold price. Hence, depending on the gold cost, the amount you pay as making charge can vary. Generally, machine-made jewellery or jewellery with little art work will come with lower making charge and ranges between 6% and 14% of the cost of gold. Some jewellers offer fixed making charges on purchase of ornaments in bulk. If a piece of jewellery has intricate design, the making charges are higher and can go up to 25% of the cost of gold. You can always bargain on making charges as these costs are unorganised. Avoid stone-studded jewellery: Do you find jewellery studded with precious or semi-precious stones prettier than a simple gold piece? Then you should know that you are paying more than it is worth. Firstly, it is difficult to check the purity of the stones embedded in the gold. Next, you should always check the exact net gold weight before buying the stone-studded jewellery.

“You don’t want to get cheated while buying gold. So, always ask for the breakup for the net gold and the stones. If a piece of jewellery weighs 30gm, out of which 3gm is stone, you should know about it and then pay accordingly," said Mehul Choksi, chairman, Gitanjali Group.

Also, since jewellery studded with stones requires intricate patterns and designs, you may have to pay more as making charges.

When you want to sell the jewellery, you will have to forego both the cost of the semi-precious stones as well asthe making charges.

Avoid selling to other jewellers: Though you may never want to sell the jewellery that you bought for yourself or have got as a gift, it is prudent to know its resale value. This can come handy if you want to exchange a piece for a better design or want to sell it in case of an emergency. Most branded stores as well as local ones have a buyback policy where they will give you 100% of the value of gold. And it is always better to go back to the store from where you bought the jewellery. Here as well, you will have to let go of the making charges and other costs attached to it.

Where to Buy Gold

If you want to buy gold purely for savings and investment, pure gold bars or coins are the way to go. While it's possible to get gold bars at a cheaper rate than smaller gold coins, the catch is they're not as saleable. Some prominent Indian banks, such as ICICI and Axis Bank, sell pure gold online to their customers. Be aware that they charge more than market price and will not buy it back from you though!

However, the most common and cost-effective way of buying gold is from retail stores. There are only about 13,000 BIS licensed jewelers in India. It's not a legal requirement to be licensed, and some jewelers claim they are when they in fact aren't.

Many cities in India have specialist gold markets where you'll find numerous stores in one area. In Mumbai, head to Zaveri Bazaar (opposite Crawford Market), which is the oldest and largest gold market in India. In Delhi, Karol Bagh and South Extension have many gold jewelers. In Chennai, try the gold stores in T. Nagar. In Bangalore, gold is plentiful on Commercial Street and nearby Dickenson Road. Also check out Raja market in Bangalore's Chikpet area.

For more detail and various discount offer on jewellery, you can visit our blog at