Business · Energy & Commodities · 3 hrs ago
Silver’s 55% price fall fails to revive festive buying in India
Silver prices in India have fallen nearly 55% from their January record, but the drop has not brought back festive buying.
Households often buy silver coins, idols, jewellery and household items for festivals, worship and gifts.
This year, many are avoiding coins and bars because they fear prices could fall further and face pressure on their spending.
Investment demand has slumped, while jewellery sales are holding up.
Shaya, Titan’s silver jewellery brand, reported festive sales growth of 25–30%, below its expected 80–100%; its silver coin sales collapsed.
The government has approved permits for about 6,500 tonnes of silver imports over six months, which is expected to ease shortages and extra domestic costs.
More supply may ease shortages, but buyers remain cautious.
Silver’s 55% fall from a record high has not revived festive buying in India, as consumers fear further price drops and face broader economic pressures.
Demand for silver coins and bars has collapsed, while interest in jewellery has held up.
Shaya, Titan Co.’s silver jewellery brand, recorded festive sales growth of 25-30% year on year, below its expected 80-100%.
The government approved permits for about 6,500 tonnes of silver imports over the next six months, easing restrictions and potentially reducing domestic shortages and premiums.
- Who
- Indian consumers and silver sellers, including Shaya, Titan Co.’s silver jewellery brand.
- What
- Silver’s steep price fall has not revived festive buying; demand for coins and bars is weak, while jewellery demand has held up.
- When
- The price drop and weak festive demand were reported in October 2026.
- Where
- India.
- Why
- Consumers fear prices may fall further and face wider economic pressures, including falling equity markets, higher oil prices and rising interest costs.
This story does not have two clearly opposing sides.
MCX silver futures reached a record high of around ₹4.2 lakh per kg.
Higher import duties on gold and silver took effect, rising from 6% to 15%.
The government issued permits for about 6,500 tonnes of silver imports over the next six months.
MCX silver futures fell 3.5% to ₹1,92,800 per kg, nearly 55% below the January record.
24-carat gold was priced at about ₹1.45 lakh per 10 g.
- Silver price fall
- Nearly 55% from around ₹4.2 lakh per kg
- MCX silver futures
- ₹1,92,800 per kg on 23 October 2026
- Silver import permits
- About 6,500 tonnes over six months
- Shaya festive sales growth
- 25-30% year on year, against an expected 80-100%
- Gold price
- About ₹1.45 lakh per 10 g on 29 October 2026
What people are saying
People are scared. Silver has gone down from ₹4.2 lakh to ₹1.9 lakh.
When prices fall this sharply, people fear they could fall further.
People simply don’t have the money to spend.