Reading gold prices: bhori, karat, VAT and making charge

In Bangladesh gold prices are set by the Bangladesh Jewellers Association (BAJUS), per bhori, separately for each karat. At the shop, a making charge and VAT are added to that price. Here is the whole sum in one place.

Bhori, ana, rati and grams

So a “2-ana chain” is about 1.46 g and a “half-bhori bangle” about 5.83 g. Divide the price per bhori by 11.664 for the price per gram.

What karat means

Karat says how much of a piece is pure gold. 24 karat is almost pure; other metals are mixed in to make jewellery hard enough to wear.

• 22 karat: about 91.6% gold (often stamped “916”). The usual standard for jewellery here.
• 21 karat: about 87.5% gold.
• 18 karat: 75% gold; common in stone-set or lighter designs.
• Traditional method: gold made the old way, with no fixed purity, so it is the cheapest.

The lower the karat, the lower the price, and when you sell or exchange a piece it is valued at that same standard.

Reading BAJUS’s prices

BAJUS raises or cuts prices in line with the local price of pure (tejabi) gold, the world market and the dollar, and each notice says from when the new price applies. For example, from 31 October 2026 the prices per bhori were:

At that 22-karat price, a gram costs about Tk 18,655. The latest prices are on gold price today.

Making charge and VAT: the total

BAJUS’s notices usually say that 5% VAT, as set by the government, and a minimum 6% making charge, as set by BAJUS, are added when gold is sold; the making charge can be higher for intricate work. Some notices and reports, though, describe VAT as already included in the price. So check whether your receipt shows VAT separately.

An example: a 4-ana (quarter-bhori) 22-karat ring at the prices above.

• Gold: Tk 2,17,592 ÷ 4 = Tk 54,398
• Minimum making charge, 6%: Tk 3,264, total Tk 57,662
• If VAT is added on top (5%): about Tk 2,883 more, total about Tk 60,545

Work out your own on the gold weight and value calculator.

Before you buy or sell

• Check the weight on the shop’s digital scale, and ask for a receipt that lists weight, karat, making charge and VAT separately.
• When selling or exchanging old jewellery, shops usually keep back a share. Ask how much first.
• Watch the effective date. Buy before a new price takes effect and you pay the old one.

Sources

• BAJUS: gold price
• News reports of BAJUS’s price notices (UNB, Prothom Alo)