Silver Rate Today in Durgapur

Durgapur is a city in West Bengal. It is well connected by rail and road. The city has India’s chief steel-producing centres, major industries like a coal washery, an alloy and special steel plant, a coal-mining machinery plant, brick and tile manufacturing, and several large thermal power units.

The specific mix of industries and consumer preferences fuels the demand for silver in Durgapur. During the festive and wedding seasons, people consider buying silver goods. This led to a tremendous increase in silver prices.

To invest in silver in Durgapur, you must first be familiar with local silver prices.

This guide on the various aspects of silver in Durgapur is provided to help you make an easier purchasing decision. We cover everything, from ongoing rates to interesting facts. Keep reading.

How is the Purity of Silver Evaluated in Durgapur?

In India, the Bureau of Indian Standards (BIS), which is supported by the government, certifies precious metals. Hallmarking confirms the purity of the final product's silver.

In contrast to gold, hallmarking for silver is currently not required in India. In the same way, it's not a good idea to buy coins or jewellery without a hallmark. Therefore, invest in the silver product if it possesses the following characteristics:

• BIS mark
• The purity grade.
• Hallmarking identification mark 
• Jeweller's identification mark 
• Year of making

Impact of GST on Silver Rate in Durgapur

The introduction of GST in 2017 impacted silver rates in Durgapur. The government has kept the custom duty unchanged. You compare the tax applicable on silver purchases shown below. 

Before 1/7/2017:

• VAT: 1.2%
• Excise Duty: 1%
• GST: Nil
• Custom Duty: 10%
   

From 1/7/2017:

• VAT: Nil
• Excise Duty: Nil
• GST: 3%
• Custom Duty: 10%

With the implementation of GST, silver prices have increased, making silver purchases a little more costly. It hasn't impacted the number of silver buyers.

If you buy silver jewellery that incurs a making charge, You have to pay 5% GST on that. Note that there is no GST charge applicable to silver ETFs.

Factors Affecting Silver Rates:

There are several factors that can influence silver prices in Durgapur:

Global demand and supply: Silver prices are largely driven by demand and supply dynamics. As economics says, when there is a strong demand for silver, prices will tend to rise, while if there is a surplus of silver, prices may fall.

Economic conditions: Economic conditions can also influence silver prices. During times of economic uncertainty, investors may turn to precious metals like silver as a hedge against market volatility.

Interest rates: Higher interest rates can make it more expensive to hold silver, as the opportunity cost of holding the metal increases. This can lead to a decrease in demand and a fall in silver prices.

Political and geopolitical events: Political and geopolitical events can also impact silver prices. When there is instability or conflict in a major silver-producing region, this could disrupt production and affect supply, leading to higher prices of silver.

Currency exchange rates: Silver prices can also be influenced by exchange rate fluctuations. Since silver is traded in dollars, If the value of the Indian rupee falls relative to the dollar, silver may become more expensive for Indian buyers, leading to a decrease in demand and a fall in prices. 

Silver as an Investment in Durgapur

In Durgapur, silver investments can be made in a variety of ways. Silver is becoming increasingly popular as an investment choice, from jewellery to ETFs. A glimpse of how Durgapur invests its silver can be found here:

Coins

Coins are a great option if you want to start with a small amount of money. During the festive and wedding season, buying and gifting silver coins is considered auspicious.

Bars

Silver Bars are 99% pure silver. It is the cheapest among all silver products since there are no making charges. They are best for investment and simple to sell.

ETFs

Commodity-based silver exchange-traded funds (ETFs) are offered by many fund houses. As per Reserve Bank of India policies, It is mandatory to invest 95% of the fund value in physical silver.

Comparative Analysis Between Gold and Silver

Gold and silver are both highly valued in Indian culture. They are used for industrial applications as well as jewellery making. Moreover, many investors believe that they act as a hedge against inflation. These metals are safe-haven investment options to diversify your investment portfolio. Despite these similarities, the two differ from each other on various grounds. Let's look at some of them:

• Gold is more expensive than silver due to its lower supply
• Gold prices are comparatively more stable compared to silver rates
• Most of the gold is used in jewelry making, while silver has many commercial and industrial applications
• To prevent oxidation and tarnishing, store silver in a cool, dry place, and away from light and humidity
• Use a tarnish-preventive cloth or bag when storing silver for long periods of time.