THIRUVANANTHAPURAM: The gold rates soared yet again on Tuesday in Kerala. With an increase of Rs 560, the price of one sovereign gold reached Rs 64,080. One gram of 22-carat gold will cost Rs 8010, and one gram of 24-carat gold Rs 8738.

Till the beginning of March, the gold rates were plummeting in Kerala, giving much relief for potential buyers amidst the wedding season. India is the largest consumer of gold in the world. Tons of gold are imported into the country every year. So even small happenings in the global market will reflect in the price of gold in India. The fall in gold rates in the international market need not affect the gold rates in India. Factors such as rupee value, local demand and import duties play a major role in determining gold prices in India.

At present, local gold associations will determine the gold rates in the domestic market. Associations can raise and lower the price of gold as per demand. Associations update prices twice a day if necessary.

An increase was also recorded in silver prices in the state on Tuesday. The price of one gram of silver is Rs 106, and the price of one kilogram Rs 106,000. Yesterday, the price of one gram of silver was Rs 105, and the price of one kilogram Rs 105,000.