Gold is measured in units of weight, and traditionally, different parts of India have had distinct measurement techniques for gold. This becomes typically confusing when determining the value of gold for different uses. Grams are currently the standardised and predominantly used modern measurement unit for the weight of gold. However, many old markets still use units like ratti and tola. Let us study these different units of gold weight in detail.
What is Ratti in Gold Measurement?
Ratti is one of India’s oldest traditional systems of weight measurement used for gold, gemstones, and other precious materials. The term “ratti” originates from the seeds of the Abrus precatorius plant, commonly known as the rosary pea or jequirity bean. Historically, jewellers and traders used these seeds as a reference standard because of their relatively consistent weight.
Over time, the ratti became a recognised traditional unit of weight measurement for precious stones and metals in India. It is still used in parts of the gemstone and antique jewellery trade today.
Ratti to Gram Gold Conversion
While evaluating your gold value, it is always necessary that you convert from ratti to grams. This is because in the present day, most of your gold transactions are done in grams.
There are approximately 0.12125 grams in 1 ratti. Here is a simple conversion table:
|
Ratti |
Equivalent in Grams |
|
1 Ratti |
0.12125 g |
|
5 Ratti |
0.60625 g |
|
10 Ratti |
1.2125 g |
|
20 Ratti |
2.425 g |
|
50 Ratti |
6.0625 g |
|
100 Ratti |
12.125 g |
This conversion is useful when assessing traditional jewellery for resale or Gold Loan purposes.
Why is Gram the Standard Gold Unit Today?
While traditional forms of measuring weight still carry cultural significance, the modern standard for measuring the weight of precious metals today is based on grams. Most lenders, jewellers, and investors prefer working with the more precise and standard method of weighing.
Grams can be found on universally recognised measurement systems and therefore create less confusion than when other systems are used. They also guarantee clear pricing for all gold buyers.
What is Tola in Gold Measurement?
Tola is a traditional weight of gold that is commonly used in India and its neighbouring countries. It’s still very popular for buying and selling gold. One Tola is equal to 11.66 grams.
Historically, gold bars and gold ornaments were commonly weighed in Tola. Many individuals still think in terms of Tola when discussing traditional jewellery or investing in gold. However, most current invoices mention gold weights in grams.
Other Common Gold Units in India
India has many different regional units of measurement that have been used to measure gold weight for many years. Some of these units are still used in local markets.
Masha
Masha is a traditional unit of weight historically used in parts of Northern India. One Masha is approximately equal to 0.97 grams. It was widely used in jewellery and precious metal transactions before the metric system became standard.
Bhori
Bhori is commonly used in Bengal and parts of eastern India for gold trading. One Bhori is generally considered equal to one tola, or approximately 11.66 grams of gold. It remains recognised in some traditional gold trading practices.
Ana
Ana is a historical unit of weight that was once used in gold measurement; however, it is now rarely used. One ana is approximately equal to 0.73 grams.
Importance of Gold Weight Units in Gold Loans
In the case of a Gold Loan, the value of the gold is calculated based on its weight and purity. Therefore, the unit of weight is important for determining the final loan amount. Using grams as the standard unit of weight for measurement provides lenders with a standard weight that stays consistent for the determination of loan value.
There are many instances when traditional jewellery is weighed in tola or ratti and must be converted to grams to ensure accurate valuation of the jewellery. Therefore, understanding how your lender calculates the weight of gold can help you determine the total loan repayment amount.
Read Also: How to Convert Gold Measurements: Pavan & Tola to Gram and More
Difference Between Traditional and Modern Gold Units
Traditional gold values were based on local systems of measurement. At the same time, modern, metric-based measurements create a more consistent and accurate measurement system.
|
Feature |
Traditional Units |
Modern (Standard) Units |
|
Common Units |
Tola, Ratti, Masha, Sovereign |
Gram (g), Kilogram (kg), Troy Ounce (oz) |
|
Standardisation |
Varies by region (e.g., a "Tola" can vary slightly between countries). |
Globally standardised and regulated. |
|
Precision |
Historically based on seeds (like Abrus precatorius) or manual scales. |
Measured using high-precision digital scales. |
|
Primary Use |
Local jewellery markets, dowries, and traditional savings. |
International trade, central bank reserves, and bullion. |
|
Key Conversion |
1 Tola = 11.66 grams (Standardised in India/Pakistan). |
1 Troy Ounce = 31.1035 grams |
How to Calculate Gold Value Using Weight Units?
Calculating the value of gold is simple. You simply multiply the amount of weight you have by the current gold price.
For example, if the current gold price is ₹7,000 per gram, the value of 10 grams of gold would be ₹70,000 (7,000*10).
If the gold you are trying to value is measured using traditional units, you will need to convert the ratti weight into grams before calculating its value. You can then multiply the weight in grams by the current gold price to estimate the value of the gold for resale or investment purposes.
However, it is also important to understand that the market value of gold also depends on the purity of gold, which varies for 24K, 22K, 18K and other popular purities of gold.
To Conclude
It is crucial to understand how gold is measured for the purposes of buying, selling, investing, or applying for a Gold Loan. Although historically, traditional units like ratti and tola have played an important cultural role, most Indians now use grams as the standard unit. By understanding the conversion from different units, borrowers can ensure accurate valuation of their gold.
Whether you are purchasing jewellery or wish to borrow funds by offering your gold assets as collateral, awareness of gold weight measurement units in India can help you make informed financial decisions. Poonawalla Fincorp’s Gold Loan helps you get the best possible value from your gold without having to sell it. Apply now and fulfil all your financial requirements without parting with your valuable gold.
FAQs
Why are traditional gold units still used in some regions of India?
Traditional measurement units have been infused into many regional jewellery customs, and continue to be a part of how regional merchants trade.
How does incorrect gold unit conversion affect valuation?
An error in the conversion could lead to a mispriced transaction and could negatively impact a borrower’s ability to qualify for a Gold Loan.
Why do lenders prefer gram-based gold valuation?
Lenders prefer grams as it is the standard unit of measurement that is recognised by the industry.
Can old jewellery measured in ratti still be pledged for a Gold Loan?
Yes, lenders convert traditional measurement units into grams before assessing the gold’s purity and value.
Which gold measurement unit is most reliable today?
Grams are generally considered the most accurate measurement because they are based on the international metric system.
We take utmost care to provide information based on internal data and reliable sources. However, this article and associated web pages provide generic information for reference purposes only. Readers must make an informed decision by reviewing the products offered and the terms and conditions. Loan disbursal is at the sole discretion of Poonawalla Fincorp.
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