| How are the benchmark prices for gold in India fixed? The truth is that there is no commonly accepted benchmark. Given that there is no physical market where gold is bought and sold, participants still rely on informal gold price quotes disseminated by the jewellery trade.
The gold imported into the country is brought in through the nominated agencies, mainly banks. Banks supply this gold to bullion dealers, at a price that includes customs duty after adding a fee to it. The IBJA- Indian Bullion Jewellers Association, a Mumbai-based association of gold dealers, then announces a rupee price for gold every day based on quotes from its member dealers...............................................Full Article: Source
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