Silver Hits Record High: Price Soars to ₹1.15 Lakh/Kg – Here's Why Rates Are Rising Rapidly
Silver prices in India have skyrocketed to historic levels, breaking all previous records. On Monday, July 14, 2025, silver touched ₹1,15,000 per kilogram for the first time ever. This puts the per gram rate at ₹115, the highest in the country's history.
📈 Global Silver Prices Also on the Rise
It’s not just India — international silver markets are also witnessing a surge. Spot silver rose by 0.6% to $38.59 per ounce, reflecting a strong bullish trend globally. Analysts believe this momentum is likely to continue.
🔍 Why Are Silver Prices Rising So Sharply?
1. 📊 Surging Industrial Demand
A major chunk of silver — around 60% — is used in industrial sectors, especially in:
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Solar panels
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Electronics
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Electric vehicles
With the global push towards renewable energy and technology, silver demand in these sectors has exploded, driving prices up significantly.
2. ⚖️ Supply Shortage
Silver supply has lagged behind demand for the past 5 years. Since silver is often extracted as a by-product of other metal mining, lack of new investments in mining operations has led to a production crunch, worsening the supply-demand imbalance.
3. 💰 Rising Investor Interest
According to Trivesh D, COO of Tradejini, investors are now seeing silver not just as a precious metal but also as a strategic industrial asset.
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In May 2025, silver-focused ETFs attracted ₹854 crore — three times more than gold.
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In June, silver outperformed gold in terms of price gains due to industrial utility and growing investor interest.
💬 What Experts Say
Market experts believe that if industrial demand continues to rise and mining output doesn't improve, silver could reach even higher levels in the coming months.
📉 Summary of Key Drivers
| Factor | Impact |
|---|---|
| 🌞 High demand from solar, EV, electronics | Boosting silver usage |
| ⛏️ Supply constraints | Widening demand-supply gap |
| 📈 Investor rush | Increased ETF inflows |
| 📊 Silver outperforming gold | Driving more attraction |
🔮 What’s Next?
With rising usage in the green energy transition and continued supply concerns, silver might become the most sought-after metal of the decade. For investors, this could be a signal to re-evaluate their metal allocations — especially with silver gaining momentum over traditional gold.
