Silver Rate Today in Nagpur

Throughout history, gold and silver have been popular as precious metals in demand for various purposes. Gold may have been a classic favourite among Indian households, but the diverse usage of silver across industries makes it a great investment option. Silver is used in the electrification of e-vehicles, green technologies, the photovoltaic industry, and the automobile segment. While the gold-to-silver comparison is inevitable, it is important to know how widely silver is used and why its demand is forecasted to increase further. 
Nagpur, known as the winter capital, is one of the largest cities of Maharastra. It is an industrial hub with high demand for silver. In addition, during the wedding and festival season, the demand and price of silver tend to increase, just like gold. Let's look at the silver rate today and some factors that could influence your investment in silver.

Paper Silver vs Physical Silver

Paper silver is an asset that shows the price of silver without being silver itself. Silver certificates, pool accounts, futures accounts, and most exchange-traded funds (ETFs) are examples of paper silver investments.

Physical silver refers to silver coins, bars, jewellery, religious idols, decorative items, kitchenware, and different artefacts. These can usually be purchased at jewellery stores.

Some Interesting Facts About Silver

• As silver is thinly traded as compared to gold, the silver market is smaller than the gold market.
   
• Most analysts predict that the overall global demand for silver is expected to increase significantly in the coming years.
   
• Silver can be easily stored at home unless purchased in large quantities. However, silver tends to tarnish when exposed easily.
   
• Compared to silver, gold is a better hedge than silver, and it is more driven by investor sentiment.
   
• Silver has diverse uses as compared to gold. For instance, silver is highly consumed in the automotive and electrical industries.

How is the Purity of Silver Evaluated in Nagpur?

Hallmarking silver for purity is not yet mandatory in India. However, opt for a BIS-hallmarked purchase with a genuine bill with the jeweller's verified details. If you still bought silver that is not hallmarked, a simple magnet test can tell you if it is pure or mixed with other metals. If the silver is refined, a magnet will not stick to it. If the silver is attracted to the magnet, it could be made from alloys and coated with silver-coloured metal.

Learn how you can ensure that your hallmarked silver is authentic:

1. It should have the BIS mark.
    
2. It will have a purity grade/Fineness of silver ranging from 990 to 800.
    
3. It should have a hallmarking identification mark, the jeweller's identification mark, and the year of MAKE.
    

There are six grades of silver. Every grade defines its specific purity of the silver. These grades are:

• 990 fineness of silver — 99% pure silver
• 970 fineness of silver — 97% pure silver
• 925 fineness of silver — 92.5% purity in silver
• 900 fineness of silver — 90% pure silver
• 835 fineness of silver — 83.5% purity in silver
• 800 fineness of silver — 80% pure silver

Comparative analysis between Gold and Silver:
 

Both gold and silver investments protect against inflation. However, physical gold is more expensive as it is scarce in supply and comes with an additional storage expense. Silver, on the other hand, is comparatively affordable, and smaller quantities can be easily stored at home. Since it is less expensive, it can be easily resold to verified jewellers.

Impact of GST on Silver Rate in Nagpur
 

A 3% GST is applicable on silver, thereby making silver purchases a little costly. Apart from that, if the jeweller charges for any service like the hallmark charge, one has to pay an additional 18% GST for that service. The GST bill also acts as a piece of evidence during the dispute.