1. Spot Price Conversion
- Gold Spot (XAU/USD): $4,468.19 per ounce <or 31.1035gram> (dated Sep, 04 2026)
- Per gram (USD): $143.65
- Exchange Rate (USD/INR): ₹94.5
- Per gram (INR): ₹13,575
- 100g Base Value: ₹13,57,500
2. Import Duty (15%)
India levies 10% Basic Customs Duty + 5% AIDC, making the effective import duty 15%.
- Duty = ₹2,03,625
- Landed Cost: ₹15,61,125
3. GST (3%)
Applied at retail checkout on MMTC’s quoted price (which already includes duty).
- GST = ₹46,834
- Final Invoice Value: ₹16,07,959
Clear Bifurcation
| Component | Rate | Amount (₹) |
|---|---|---|
| Base International Value | — | 13,57,500 |
| Import Duty (BCD + AIDC) | 15% | 2,03,625 |
| GST on Retail Price | 3% | 46,834 |
| Final Invoice (100g bar) | — | 16,07,959 |
Reference Links for Live Data
- Exchange Rate (USD/INR): XE Currency Converter.
- Gold Spot Price (XAU/USD): TradingView Gold Spot
- India Import Duty Notifications(CBIC Customs Notifications) : Import duty rates on gold can vary and must be confirmed at the time of calculation; at present, the effective rate is 15%.
Note: This calculation applies when buying gold in India based on international spot prices. Local jewellers rarely pass on the exact rate, and there’s usually a 1–2% variation. If you’re purchasing bullion in larger quantities, this method can be a real saver.
Why Dubai Gold Is Cheap
Gold in Dubai often sells closer to international spot prices because the UAE levies zero import duty on bullion and keeps taxes minimal. In contrast, India imposes a 15% import duty plus 3% GST, which inflates the landed cost. Add to that India’s higher making charges on jewellery, and the gap widens further. Dubai’s currency peg to the USD also ensures prices track global rates more directly, without the rupee depreciation effect that pushes Indian prices higher.
This variation in pricing is one of the reasons smuggling (illegal cross‑border trade) persists traders exploit the duty gap between India and Dubai. While excise duty is the primary driver, lower making charges, transparent purity standards, and tax refunds for tourists also contribute to Dubai’s competitive edge. For bullion buyers, the difference can be significant, but legally importing gold back into India means paying the full duty, which erases much of the advantage.