How to Calculate Gold Price Per Gram
Quick Answer
Gold is priced internationally in troy ounces. 1 troy ounce = 31.1035 grams. 1 tola (India, Pakistan, Middle East) = 11.664 grams.
- Price per gram = Spot price (per troy oz) / 31.1035
- Price per tola = Price per gram x 11.664
Example: Spot price is $2,400 USD per troy ounce. Price per gram = 2,400 / 31.1035 = $77.16 USD. Price per tola = 77.16 x 11.664 = $899.90 USD.
Gold pricing is one of the most searched financial questions globally, particularly in India, Pakistan, the UAE and the Middle East where gold is central to culture, savings and jewellery. This guide explains how to convert between gold pricing units and how to calculate the value of gold by karat and weight. Use the Weight and Mass Converter on CalConvs for any weight conversion between grams, troy ounces and tola.
Gold Weight Units Explained
| Unit | Weight | Context |
|---|---|---|
| Troy ounce (ozt) | 31.1035 grams | The global standard for gold pricing. All international spot prices are per troy ounce. |
| Gram (g) | 1 gram | The most widely used weight unit for small gold quantities and jewellery. |
| Tola | 11.664 grams | A traditional South Asian and Middle Eastern gold weight. |
| Kilo bar | 1,000 grams | Common investment bar size (32.15 troy ounces). |
| 400 troy oz bar | 12,441 grams | The London Good Delivery bar, standard for central banks. |
| Masha | 1.166 grams | One tenth of a tola. Used in some South Asian jewellery markets. |
| Avoirdupois ounce | 28.35 grams | NOT used for gold. Always use troy ounces for precious metals. |
Gold Karat Purity: 24K, 22K, 18K Explained
| Karat | Purity | Typical Use |
|---|---|---|
| 24 karat (24K) | 99.9% pure gold | Investment bars and coins. Too soft for everyday jewellery. |
| 22 karat (22K) | 91.7% pure gold | Common for jewellery in India, Pakistan and the Middle East. Durable and very high purity. |
| 18 karat (18K) | 75% pure gold | Standard for fine jewellery in Europe and the US. Harder and more durable. |
| 14 karat (14K) | 58.3% pure gold | Common in US commercial jewellery. Good durability. |
| 10 karat (10K) | 41.7% pure gold | Minimum karat that can be sold as gold in the US. |
| 9 karat (9K) | 37.5% pure gold | Legal minimum for gold in the UK and Australia. |
How to Calculate the Value of Your Gold Jewellery
Formula: Value = Weight (g) x Purity fraction x Price per gram
- Example 1: 22K gold chain weighing 20 grams. Purity fraction = 22/24 = 0.9167. If spot price = $77 USD per gram (24K), price per gram of 22K = 77 x 0.9167 = $70.59. Value = 20 x 70.59 = $1,411.80 USD.
- Example 2: 18K gold ring weighing 8 grams. Purity fraction = 18/24 = 0.75. Price per gram of 18K = 77 x 0.75 = $57.75. Value = 8 x 57.75 = $462 USD.
Gold Pricing by Country
- India: Gold prices quoted in INR per 10 grams (24K) and per tola. Local prices include import duty (15%), GST (3%) and dealer margins, making Indian prices higher than international spot.
- Pakistan: Gold prices quoted in PKR per tola. The State Bank of Pakistan publishes official rates. Import and tax structure affects local premiums.
- UAE and Gulf countries: Gold sold by the gram and tola. Dubai Gold Souk prices are among the most competitive globally because import duties on gold are zero in the UAE.
- United Kingdom: Prices quoted in GBP per troy ounce or per gram. VAT (20%) applies to gold jewellery but not to investment gold (bars and coins).
- United States: Prices in USD per troy ounce. No federal tax on gold coins and bars. State sales taxes vary by state.
Frequently Asked Questions
How do I calculate the price of gold per tola?
Divide the international gold spot price (per troy ounce) by 31.1035 to get the price per gram. Then multiply by 11.664 to get the price per tola. For example, if gold is $2,400 USD per troy ounce: price per gram = $77.16, price per tola = 77.16 x 11.664 = $899.90 USD.
Is 22K or 24K gold better for investment?
For pure investment purposes, 24K gold bars or coins are preferable because you are paying only for gold content. 22K is excellent for jewellery that also serves as a store of value, but jewellery typically carries a making charge above the gold spot value.
How many grams is 1 tola of gold?
One tola of gold equals 11.664 grams. This is the internationally standardised tola measurement used in India, Pakistan, Bangladesh, Sri Lanka and the Gulf countries.
Why is gold cheaper in Dubai than India?
Gold in Dubai carries no import duty, while India imposes a 15% import duty plus 3% GST on gold. This structural cost difference makes Dubai gold prices significantly lower than Indian prices for the same purity and weight.
Related Tools
- Weight and Mass Converter: grams, troy ounces, kilograms and more
- Percentage Calculator: calculate karat purity percentages
- All Unit Converters: 74 converters on CalConvs