Silver Rate Today in Mangalore

Mangalore is a port city in Karnataka. Silver is a highly desirable precious metal in Mangalore for several reasons. The reason is that many people consider it a traditional investment. It is widely used as gifts during weddings, festivals, pujas, and other auspicious occasions.

Silver is popular as it is more affordable than gold. It is used in many traditional silk sarees manufactured in Mangalore. A fun fact: When the silver price fluctuates due to various internal and external factors, the cost of silk sarees that use pure silver thread also fluctuates. Silver, as an investment option, provides a hedge against inflation and gives you good long-term returns.

How is Silver better for investment?

Here are a few reasons to invest in silver.

Constant Demand: In India, silver is considered as an auspicious metal. People buy it in the form of jewellery, coins, statues, utensils, and many more. The industrial and medical sector also widely uses silver for its various scientific features. So, the demand for silver is constant and is expected to rise further.

Supply and Demand Ratio: While the demand for silver constantly rises worldwide, its availability is dropping. It means it will be difficult to get silver in the future, eventually increasing the price. So, it's ideal to buy silver for long-term investment.

Predictable Market: The silver market in India is predictable as demand spikes are evident during festivities and the wedding season.

Affordable Price: Silver is more affordable for most Indian households than gold. For young investors as well, silver is within their reach in terms of affordability when they begin their investment journey.

Multiple Ways to Invest: Physical storage of silver is not a hurdle in the investment journey. You must be worried about the storage problem if you buy a few kilos of silver. You don't have to purchase silver in its physical form. Instead, you can invest in e-silver through silver stocks, exchange-traded funds (ETFs), and exchange-traded commodities. You can even own a holding of e-silver and get a profit if the price of silver rises.

Diversifies your Portfolio: People often invest all their valuable money in the stock market to get quick and high returns. A balanced approach is preferable to diversify your portfolio by investing in precious metals like silver. It protects you from the uncertainty of the stock market due to inflation and geopolitical situations.

How to buy Silver in Mangalore? 

Investments in silver are affordable and can provide great returns. Silver investments can be in the form of coins, jewellery, artefacts, or even silver bars. Since the silver prices in Mangalore are on the rise, it becomes increasingly important to ensure that the silver you are buying is pure and credible. 

While buying silver in Mangalore, it is important to ensure that the jewellers are certified and the jewellery is hallmarked. To name a few reputed jewellers in Mangalore, Abharan Jewellers, ORRA and Lakshami Gold Palace are good to go. 

Paper Silver vs Physical Silver

In today’s world, while physical silver is a relatively scarce commodity, paper silver is in abundance and ceaselessly unlimited. The enormity of paper silver trading compared to physical silver supply calls for establishing a stark difference between both commodities. And although it is said that paper silver is toxic, researchers have mentioned that the market for paper silver is 250 times that of the market for physical silver, which is, nevertheless to mention, huge. 

Impact of GST on Silver Rate in Mangalore 

The Goods and Services Tax (GST) introduced in 2017 lays down policies and slabs under which taxes are levied on a commodity.  Under this policy, all precious metals, including gold and silver are subjected to a GST rate of 3%. Additionally, a  5% GST charge is levied as making charges of moulding raw silver into intricate jewellery and artefacts.

Apart from this, import duties are also applicable to silver imports to India - 

• Customs Duty - 12.5%
• Agriculture Infrastructure and Development Cess (AIDC) - 2.5%
• Social Welfare Surcharge - 10% of Customs Duty

Silver as an Investment in Mangalore

Silver investment has been considered a popular choice in Mangalore for decades. People in Mangalore mostly buy silver in various forms. These include silver jewellery, coins, bars, and utensils for gifting and investment purposes.

For those who don't want to buy and store silver, an option is Silver ETFs, which are traded on stock exchanges like regular funds. It is an innovative and convenient way of investing in silver without storing the metal. It is also an excellent option to gain exposure to the silver market. An added advantage is that you can take fluctuations in the price of silver without having to buy the metal.

How is the Purity of Silver Evaluated in Mangalore?

The Government of India, initiated on June 14, 2018, indicates that the silver also now has to be subjected to hallmarking. However, unlike in the case of gold, it has not been made compulsory. The Quality Control order issued by the government of India does not stand true for silver yet. Although, a vast variety of jewellery merchants prefer to hallmark it as a test for purity and to enhance customers’ belief in their product. 

However, there are a couple of factors that have to be kept in mind when buying hallmarked silver jewellery: 

1. BIS Mark
   Jewellery hallmarked by BIS will always have a BIS logo on it. BIS, being the only authorised laboratory in India for silver certification, becomes necessary to ensure this mark on the jewellery.
2. .999 silver
   Unlike gold, Karat is not a scale to gauge silver’s purity. The purest form of silver is, thus, .999 silver, which is, 99.9% silver in its purest form. Since pure silver is very soft, it is typically alloyed to make jewellery.  925 silver, also known as sterling silver,  is the most commonly used alloy to make silver jewellery and other silver artefacts.
3. Jeweller's Identification Mark
   The silver you buy carries an identification mark from an authorised jeweller. This helps ensure that the jewellery is from a credible source.