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What is 1 Pavan of Gold in Grams and How is It Calculated?

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Pradeep Salunkhe
19 Nov 2025 |5 Minutes
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The term 'Pavan' is widely used in southern India for gold trading and as a measure of the value of gold jewellery. In terms of physical quantity, and in the metric system, 1 Pavan traditionally refers to 8 grams of gold. It holds cultural and practical importance in certain states of South India (like Tamil Nadu), where the unit is commonly used to buy, sell, or evaluate the physical quantity of gold or gold jewellery.

Read this blog to learn more about the unit of Pavan, its origin, the conversion method, and make an informed decision in evaluating the value of gold when buying, selling or availing a gold loan.

How Many Grams Are There in 1 Pavan of Gold?

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The word 'Pavan' is a widely used unit for measuring gold in southern India, particularly in the states of Kerala and Tamil Nadu. One Pavan of gold equals 8 grams of physical quantity of gold and is commonly bought and sold in Pavan during weddings, festivals, and religious ceremonies in these states.

Commonly Used Cost Calculation of 1 Pavan of Gold

The cost of 1 Pavan of gold is calculated by multiplying the current gold price per gram by 8. Here is the formula you can use to calculate the value of 1 Pavan of gold:

● 1 Pavan = 8 Grams of Gold

● Cost of 1 Pavan gold = 8 Grams of Gold x Price of Gold per gram

Suppose you want to buy 1 Pavan of gold. The price of gold per gram is approximately ₹12,000. To calculate the price of 1 Pavan of gold, you will multiply the weight of 8 grams by ₹12,000.

● 1 Pavan gold = 8 x 12,000 = ₹96,000

● 2 Pavan Gold = 16 x 12,000 = ₹192,000

● 10 Pavan Gold = 80 x 12,000 = ₹960,000

Origin of Pavan as a Measurement Unit of Gold

The term "Pavan" itself is a local variation of the word "sovereign." The British gold coin, the "British Sovereign," historically weighed around 7.988 grams, just short of 8 grams. Eventually, in Indian local gold markets, this was rounded to 8 grams for simplicity, and the word "sovereign" was adapted to become "Pavan" (otherwise spelt "pawan").

Today, whenever somebody mentions one Pavan of gold, it's referring to the same weight that once was a British gold coin, only rounded off for easy calculations. It simplifies gold transactions, making it important for both daily life and financial dealings.

Let's understand more about 1 Pavan of gold with the help of below table:

No of Pavans

Weight in Grams

Cost of Pavan gold

1 Pavan

8

₹96,000

2 Pavan

16

₹1,92,000

3 Pavan

24

₹2,88,000

4 Pavan

32

₹3,84,000

5 Pavan

40

₹4,80,000

10 Pavan

80

₹9,60,000

How is 1 Pavan of Gold Priced in Modern Form?

The final cost of 1 Pavan gold is not just the gold price multiplied by its equivalent weight in the metric system.

Here are all the factors that influence the cost of 1 Pavan gold in India:

1. Current Gold Rate (per gram)

Gold rates fluctuate daily. As of 17th November 2025, the cost of 1 gram of gold is approximately ₹12,000 for 24K, and ₹11,500 for 22K. The price changes every day based on the market demand, international gold rates, exchange rates, and other economic considerations.

The current rate of 1 Pavan gold will change accordingly with it. So, let's suppose the price of gold today is ₹12,000 per gram. The current rate of 1 Pavan gold will be:

  • 1 Pavan Gold = 8 x ₹12,000

  • 1 Pavan Gold = ₹96,000

2. Making Charges

Whenever you want to buy gold jewellery or an ornament, the jewellers will always charge you extra for the work and design done. This cost can be anywhere between 5% and 25% or even more, based on how complex the design is.

Assuming the charge is 10%:

  • 10% of ₹96,000 = ₹9600

So, your total amount now becomes:

  • ₹96,000 + ₹9600 = ₹105,600

3. GST (Goods and Services Tax)

As of 2025, you have to pay 3% GST on the total price of the gold that you want to buy (gold + making charges).

  • 3% of ₹105,600 = ₹3168

So, the final price is:

  • ₹105,600 + ₹3168 = ₹108,768

Final Cost of 1 Pavan Gold (Example)

Component

Value

1 Pavan Gold Price (8g)

₹96,000

Making Charges (10%)

₹9600

Subtotal

₹105,600

GST (3%)

₹3168

Final Price

₹108,768

 

*Note: This calculation is based on the gold and GST prices in India as of 17th November 2025. Prices and charges differ between jewellers, cities, and states.

Is Pavan Used in Metric System or Imperial Units in International Markets?

No, the international gold market follows the gram, ounce, and kilogram system which are based on the metric and imperial systems. Pavan is purely a regional or local unit, used mainly for convenience in retail gold buying. You'll often hear gold prices quoted as:

  • USD per ounce

  • INR per gram

  • INR per 10 grams (common in Indian financial markets)

Do People Still Use "Pavan" Today?

Yes, in 2025, many Indians are using the term "Pavan" instead of "grams" to buy and sell gold, as it is rooted deep in our culture. Here is why Pavan is still used and popular in South India:

  • Cultural Tradition: For ages, gold was weighed in Pavans instead of grams. Hence, most Indian families use Pavan today to buy, sell, and gift gold.

  • Easy to Remember: Pavan not only simplifies transactions but also avoids confusion with metric or international units.

  • Wedding and Gifting Traditions: During festivals or weddings, gold is still bought in Pavans because it stands as a symbol of wealth, status, and blessings.

Tips to Keep in Mind While Buying 1 Pavan Physical Quantity of Gold

Here are some tips you can follow when buying 1 Pavan of gold:

1. Always Know the Current Rate of Gold

As the current rate of gold in grams changes, so will the current rate of 1 Pavan gold. The price will reduce if the current rate reduces. The price will increase if the current rate increases. Consider this rate before you decide to make a purchase.

2. Be Aware of the Making Charges

Making charges directly influences the cost of 1 Pavan gold. It not only adds to the cost of gold but also attracts 3% GST on it. This is why you must consider making charges and add them to the final price. Here are the factors you must take into account:

  • Percentage of making charges

  • Whether it is applied to the gold weight or the whole price

  • GST on making charges (3%)

3. Inspect Gold Purity (Hallmark Certification)

Avoid buying gold based on weight alone. Ensure your gold is BIS hallmark certified, which is the highest standard of purity. It certifies that gold meets specific purity standards. It also helps you confirm that the gold is genuine and fairly priced.

4. Look For Differences Between Stores

Even minor variations in making charges or gold prices can reduce the cost by thousands. This is why you must always visit and compare different jewellers to get the best rates possible.

5. Request an Itemised Bill

Always make sure that the bill you get has these things written:

  • Gold rate

  • Weight

  • Making charges

  • GST

  • Purity (22K/24K)

  • Hallmark details

Also Read: Common Gold Units: Ratti, Gram, and More Explained

To Conclude

Gold is at the heart of India's culture, tradition, and financial security. However, the gold prices are dynamic and change every day. Whether you are buying it for the first time or again for a safe investment, you must start by understanding the meaning of 1 Pavan gold grams. It helps you make smarter choices in gold transactions.

And if you want to get funds against your idle gold, Poonawalla Fincorp helps you meet your financial needs without selling it. With a loan amount of up to ₹50 Lakhs, you can cover all your emergency needs with a hassle-free Gold Loan.

FAQs

Why is 1 Pavan equivalent to 8 grams if the initial British sovereign was a bit smaller?

The jewellers rounded off the weight of the sovereign (7.988g) to a convenient 8 grams for easy handling and calculations in day-to-day transactions.

Are the making charges based on per gram or Pavan?

Making charges are charged as a percentage of the overall gold value, not per Pavan or gram.

Is the gold price for one Pavan the same for any jeweller on a given date?

Usually, the price you get for one Pavan will be marginally different based on how they got the gold, their overheads, brand value, and local price variation.

How much gold loan can I get for 1 Pavan of gold?

For 1 pavan of gold (8 grams), you can typically get a loan of about 75% of its market value. At ₹12,000 per gram, 1 pavan is worth ₹96,000, so the loan amount would be around ₹72,000. The exact amount depends on purity, lender policies, and RBI’s 75% Loan-to-Value rule.

Can I buy exactly one Pavan of gold in the form of a coin or bar?

Yes, many people buy 8-gram 24K gold coins as a gift or as an investment.

Is GST charged on the making charges too, or only gold value?

GST is charged on the total invoice value, which includes both the final price of your gold and the making charges.

Disclaimer

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.

*Terms and Conditions apply
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