India's Silver Price Drops 45% Since February High Amid Global Disruptions
The silver price in India has dropped significantly from its February record high, due to global supply chain disruptions caused by China's export controls on silver. The current rate is ₹255-263 per gram across cities, down 45% from the $122 per troy ounce peak reached in February.
The correction since February has been orderly but substantial, with global silver prices trading near $66.79 per troy ounce. This decline has partially offset the impact of India's import tariff increase in May, which raised the effective duty on silver to 15%.
India's bullion market is sensitive to the Federal Reserve's posture, and a stronger dollar resulting from higher expected US rates would compress the rupee value of imported silver. This compression is reflected in today's rates, which are below mid-August peak levels.