Silver Rate Today in Jammu And Kashmir

Jammu & Kashmir is a union territory of India; located in the northern part of the country. Jammu & Kashmir is also known as “Heaven on Earth”. When we think about Jammu & Kashmir, the first thing that comes to mind is mountain ranges, picturesque landscapes, and a rich natural environment. Along with vibrant traditional culture, Jammu & Kashmir is also famous for its handcrafted jewellery tradition; in fact, it is known as the jewellery crown of India.
Throughout history, precious metals such as gold and silver have been in demand for several purposes. The Indian gold market has always been dominant, but silver is widely used in numerous industries, such as the electric vehicle industry & automobile, green technology, and photovoltaics. Based on the predictions of several analysts, silver prices will likely rise in the near future.

The silver rate in Jammu & Kashmir depends on several factors, including international trends, inflation, and currency rates. Read on to discover the silver rates in Jammu & Kashmir.

Comparative Analysis of Gold vs Silver in Jammu And Kashmir

Historically, gold and silver have been effective hedging instruments during economic downturns, market crashes, and currency depreciations.Nevertheless, they are susceptible to highs and lows similar to any other asset class. Here are some factors to consider before investing in gold or silver.

1. Volatility: Historically, gold has been less volatile than silver. Silver metal is primarily used in industrial applications. As a result, silver demand fluctuates in response to global economic factors.
2. Liquidity: Liquidity is the ability of an asset to be converted to cash without losing its value. Silver and gold have massive market sizes, making them highly liquid. According to estimates, the markets for gold and silver are worth ₹24.5 trillion and ₹4.4 trillion, respectively. There is a six-fold difference in gold's liquidity compared to silver, giving gold an advantage over silver on the market.
3. Demand: Gold and silver are used in jewellery and across a range of other industries.Due to gold's excellent conductivity, it has great value in the conductor, electronics, and thermal industries. Silver is extensively used in manufacturing industries such as automobiles, electronics, thermal, and medicine. According to estimates, industrial uses account for more than half of silver's global demand.
4. Storage: Compared to gold, silver has a lower density. Silver has approximately 80% more volume than gold. Therefore, buying physical silver will also require more storage space.Moreover, silver tarnishes more quickly than gold, which requires storing it in a dry, climate-controlled facility.
5. Affordability: Silver is undoubtedly more affordable than gold. However, the gold-to-silver ratio has risen to 120:1 in recent years. When it comes to reserve assets, gold holds a higher value. Therefore, governments and banks maintain gold reserves; on the other hand, they rarely hold silver reserves.
6. Investment options: There are now options for buying gold and silver digitally in addition to jewellery stores. Through "Exchange Traded Funds (ETFs) and mutual funds, you can invest in these metals without making a physical purchase.

Impact of GST on Silver Rate in Jammu And Kashmir

GST (Goods and Services Tax) became effective in 2017. In this tax regime, all silver purchases are subject to a 3% GST. There is also a 5% GST on the making charges for silver jewellery.
In India, gold & silver imports incur three types of taxes: Custom Duty (12.5%), Agriculture Infrastructure Cess (2.5%), and Social Welfare Surcharge (10% of Custom Duty).

 As of July 2022, the Social Welfare Surcharge has been exempted. Therefore, the total import duty is 15%.

Things To Keep in Mind When Buying Physical Silver

As the prices of physical silver depend upon its purity, it is important to check the purity of the silver before buying it.

Another way to make sure that you are getting the best price for the silver is to compare rates across different vendors in Jammu and Kashmir.

It is important to be aware of the coins, bars, and jewellery that you are buying and to know the current market value before making a purchase.

Additionally, it is wise to invest only in reputable and trusted vendors to ensure the authenticity of the silver.

Some Interesting Facts on Jammu And Kashmir Silver Rates vs Other

1. Silver is used in Indian culture in many different ways, including an infant's feeding plate, a silver spoon, and as jewellery.
2. The price history of silver reveals that it has been more volatile than other precious metals. The reason for this is its smaller market.
3. There are numerous industrial uses for silver, accounting for over half of the global demand, while gold accounts for only 10-15%.
4. Decarbonization and electrification are becoming increasingly popular worldwide, and silver is a critical component of green technologies.
5. Silver has wide applications in electronics, such as circuit boards, wires, and switches.
6. According to most analysts, the overall demand for silver will grow significantly in the coming years.
7. Compared to gold, silver requires more storage space due to its density. In addition to being more expensive to store, it tarnishes very rapidly.
8. According to the Silver Institute, silver is one of the most widely used commodities in the automotive industry. Annually, the automotive sector consumes more than 36 million ounces of silver. All electrical connections in your vehicle use silver-coated contacts.
9. According to The Silver Institute, silver has been used worldwide since 700 BC.