With gold rates soaring nationwide, Kerala has quietly become one of the cheapest places in India to buy gold, outpacing major metros like Delhi, Mumbai and Bangalore in terms of retail pricing and transparency.
Lower Gold Prices Compared to Other Cities
As of early February 2026, the 24-carat gold price in Kerala was reported around ₹16,053 per gram, with 22-carat and 18-carat rates similarly competitive in local markets. These rates often remain below or in line with prices in other parts of India because of regional pricing dynamics and market factors.
Why Kerala’s Gold Prices Are More Competitive
Industry analysts point to several factors behind Kerala’s pricing edge:
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Proximity to major ports: Kerala’s gold often arrives directly through southern ports, reducing transportation and logistics costs compared to northern and western markets.
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Uniform pricing policies: The state has been at the forefront of adopting uniform gold pricing mechanisms, such as the “One Nation, One Gold Rate” approach, which can reduce price disparities across outlets and cities.
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High competition among jewellers: Kerala’s strong consumer demand puts pressure on jewellers to offer competitive making charges and keep mark-ups lower than in some metropolitan markets.
These dynamics often translate to savings of thousands of rupees for buyers compared to purchases in cities with higher overhead and larger mark-ups.
How Prices Vary Across India
Gold rates in India fluctuate daily based on international bullion prices, exchange rates, taxes and local demand. National charts show varied prices across cities, with Thiruvananthapuram and other Kerala centres often among the more affordable options for retail buyers when local market factors are taken into account.
Shopper Advice: Focus on Purity and Hallmark
Experts emphasise that buyers don’t just chase the lowest price — they should also prioritise purity and authenticity. BIS hallmarking remains crucial: 24-carat for bars/coins and 22-carat for jewellery to ensure quality and legal compliance. This balances cost savings with consumer protection.
Why Local Market Dynamics Still Matter
Despite global pricing trends, local factors and jeweller practices continue to shape what consumers pay at the store counter. Even with daily moves in gold markets, Kerala’s mix of competitive jewellers, direct import advantages and uniform pricing policies helps retain its edge as a cost-effective gold buying destination in India.