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:

• Solar panels

• Electronics

• 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.

• In May 2025, silver-focused ETFs attracted ₹854 crore — three times more than gold.

• 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.