October 15, 2025

Silver is sparkling in India like never before—but not in a good way! The price of silver jumped a whopping ₹6,000 on Tuesday, reaching a record high of ₹1,85,000 per kg including taxes, just as the festive and wedding seasons approach. Over this year alone, silver prices soared by 106.24%, or ₹95,300, leaving many worried. This silver shock has caused a severe shortage that is shaking up India's silver jewellery exports. Kirit Bhansali, chairman of the Gem & Jewellery Export Promotion Council (GJEPC), said, "There is a tremendous shortage of supply, which will impact our exports of silver jewellery. We are speaking to stakeholders and will shortly call a meeting of silver jewellery exporters and retailers." Clearly, this is a big deal! India’s provisional silver jewellery exports grew nicely by 17.43% year-on-year to $596.41 million in the first half of the current financial year, but the shortage could endanger this growth. Why is silver so tight? Silver isn’t just for jewellery—it’s a hot favourite in high-tech industries like electronics, solar panels, and batteries. Adding to the pinch, the US recently marked silver as an essential mineral, redirecting huge shipments their way and squeezing global supplies even more. An Indian exporter noted, "There is no supply at present. It is affecting our silver jewellery exports. Unnecessarily high premium is being charged on the metal." To keep things in check, the Indian government has also put a brake on silver and unstudded jewellery imports from some ASEAN countries, especially Thailand, until March 31, 2026. These goods, which were earlier free to import, now face restrictions. With silver prices hitting the roof and supplies drying up, the sparkle on India’s silver jewellery could dim if quick solutions don't arrive. The upcoming GJEPC meeting will be crucial in mapping out a way forward for all the jewellers and exporters caught in this shining dilemma.

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Tags: Silver prices, Silver shortage, Gjepc, Silver jewellery exports, Us import regulations, India,