Silver Rate Today in Farrukhabad

Farrukhabad is a city and a district named after Farrukhsiyar, which is a part of the Kanpur division. It falls under the state of Uttar Pradesh. Farrukhabad district is well known for its sugar mills and sunflower plantations. In the world of textiles, Farrukhabad is known for its Zardosi and zari work, especially in bridal lehengas. It is a place where a lot of Jain and Buddha temples are found. As Farrukhabad is known for its silver Zardosi work, and the demographics of the district are such that they invest in silver jewellery. Let's discuss silver rates in the district as well as factors that affect silver prices

Comparative Analysis of Gold vs Silver in Farrukhabad

Gold is much more expensive than silver however the demand for both is quite different. In Farrukhabad, gold is mainly used for retail purposes, such as jewellery, gold biscuit investments or gold coins. With gold bonds being more popular than silver bonds, gold bonds have a significant amount of investment when it comes to the gold market. Goldwork is seen in textiles in the form of Zardosi and Zari as well. Gold is mainly invested in by those with a higher per capita income whereas silver is an option for those with a lower pay grade too.

Silver investments are mainly done as a way to earn profits. They are usually invested in bars, jewellery or in bullion form which is then sold at a higher price. There is comparatively less investment in paper silver as compared to physical silver. There are various reasons for this. The primary reason is a lack of awareness. Silver is largely bought in the form of jewellery, silver bars or coins and silver idols. Silver is considered auspicious and hence on occasions like Diwali Weddings or Lakshmi Poojan, people gift each other Silver coins because not only it has a cultural value, but also serves as a good investment.

How is the purity of silver evaluated in Farrukhabad?

Whenever you buy precious metals, the purity of the metal is always a cause of concern. The question of how to test the purity of silver arises when cheaper metals are blended with metals that are sometimes impure to cheat consumers. There are various scientific tests and methods in labs as well as in jewellery stores. However, these measures are not needed if your silver has the following marks:

• Bureau of Indian Standards (BIS) mark.
• Jewellers identification symbol
• Purity grade indicator
• Marking year

These standards or markings are credible guarantees of the purity of silver metal

How to buy Silver in Farrukhabad?

The Silver found in Farrukhabad is mainly imported. You can find fine silver jewellery in jewellery stores. There are few branded jewellery showrooms in the district and those that exist charge high craft rates. So if you want to buy silver you can visit credible  jewellery stores. Here you can buy silver in tolas, sovereigns, ounces or kilograms.

How to Invest in Silver in Farrukhabad?

There are various ways of investing in Silver in Farrukhabad. You need to monitor the price constantly as it fluctuates every day. Silver is considered a long-term investment so you must keep that in mind. You can buy Silver in the form of:

Silver jewellery: Silver jewellery is considered auspicious and hence silver is widely used to craft beautiful jewellery. Jewellery with 925 Hallmark is considered to be of the purest form

Silver bars and coins: Silver bars and coins are purchased as a physical asset that will appreciate over time and provide a profit.

E-Silver: A unique way to own silver without facing storage problems is E-Silver, an initiative by National Spot Exchange Limited or NSEL. Silver can be traded on NSEL.

Silver stocks: Silver stocks are a beneficial and safe investment that comes without the hassle of actually storing silver.

Paper Silver Vs. Physical Silver

Paper Silver

• A smart and convenient investment option that does not require the storage of silver
• Involves counterparty risk from the party that sold you the paper silver

Physical Silver

• A direct investment in silver jewellery or silver items that you can store
• Has storage costs as you may not want to store it in your house for safety reasons
• You can sell physical silver yourself, hence no counterparty risk.

Impact Of GST On Silver Rate In Farrukhabad

GST is pegged at a rate of 3% when you buy silver in Farrukhabad. This is applied to the total transaction value irrespective of the making charges being shown separately.

Understanding the demand for Silver in Farrukhabad

In Farrukhabad, Silver is in significant demand, as an investment and as an ornament or jewellery. It is also used in the textile industry in this area. The demand for Silver in Farrukhabad is subject to a lot of factors like the price of gold, the rate of the U.S. dollar, the valuation of currency, interest rates, monetary as well as capital markets, etc. The population of Farrukhabad invests in silver as an asset and purchases ornaments and religious idols as retail items. The investment part of the demand is mainly in physical silver rather than Silver bonds as there isn’t much awareness of it.