The Golden Dilemma: High Prices, Strong Demand
The price of gold in India continues to hover at elevated levels, creating a challenging situation for buyers. As of early September 2026, 24-karat gold is priced at over ₹1,50,000 per 10 grams in major cities. Despite this, demand for jewellery has shown
resilience and is even expected to strengthen with the upcoming festive and wedding season. This paradox—soaring costs versus unshakable cultural and emotional attachment to gold—means buyers need to be more strategic than ever. The key is not to stop buying, but to start buying smarter.
Deconstruct Your Jewellery Bill
To shop deliberately, you must first understand what you're paying for. A gold jewellery bill isn't just the price of gold. It’s a sum of several components: the gold value (based on weight and purity), making charges, wastage charges (sometimes included in making charges), and Goods and Services Tax (GST). Making charges, which cover the craftsmanship, can range from 6% to over 25% of the gold's value and are a significant variable cost. Always ask your jeweller for an itemised bill that clearly breaks down each of these costs. Transparency is the first step to a smart purchase.
Mastering the Art of Making Charges
Making charges are where you have the most room to save. These fees are not fixed by law and are set at the jeweller's discretion. They can be calculated as a percentage of the gold value or a flat rate per gram. During periods of high gold prices, a flat rate per gram is often more economical for the buyer than a percentage-based charge. Don’t hesitate to negotiate these charges, especially on larger purchases or if you are a repeat customer. Comparing the making charges across two or three different jewellers for a similar piece can reveal significant price differences and give you bargaining power.
Hallmarking: Your Guarantee of Purity
Never compromise on authenticity. In India, it is mandatory for all gold jewellery to be hallmarked with a 6-digit alphanumeric Hallmark Unique Identification (HUID) number, along with the Bureau of Indian Standards (BIS) logo and a purity mark (e.g., 22K916). This HUID code is unique to each piece of jewellery and ensures its traceability and purity. You can instantly verify the HUID number using the official 'BIS Care' app on your smartphone. This simple check confirms the item's purity, weight, and the details of the jeweller and hallmarking centre, protecting you from fraud.
Smart Alternatives and Design Choices
A high budget isn't the only way to own beautiful jewellery. Consider opting for lightweight or minimalist designs, which naturally cost less and often have lower making charges. Another option is to explore jewellery made from 18K gold instead of the traditional 22K. While 22K gold is 91.6% pure, 18K gold (75% pure) is more durable and affordable, making it a popular choice for modern, everyday wear. If your primary goal is investment rather than adornment, consider alternatives to physical jewellery. Gold coins or bars have much lower making charges. Additionally, financial products like Gold Exchange Traded Funds (ETFs), Gold Mutual Funds, and Digital Gold offer a way to invest in the precious metal without the extra costs of craftsmanship and storage.
