India’s Silver Export Spikes as Gold Import Declines

MUMBAI (Scrap Monster): As the gold supply struggles to meet its surging demand, the silver jewelry export has made giant leap in India. In February, India’s silver exports increased 45.33% to $84.1 million and jumped 89% in the 11-month period to $1.35 billion.

According to the report of the Gems and jewelry Export Promotion Council, silver jewelry exports spiked 109% between April 2013 and February 2014, to $1.3 billion (Rs 81.4 billion) from $642 million (Rs 38.85 billion) in the same period of the last financial year.

Apart from the silver jewelry, the export of the silver articles and silver utensils to the US, parts of Europe and Japan also raised in this year. The silver metal demand has spiked abroad as the price of gold and palladium has risen up, Mr. Pankaj Parekh, vice chairman of the Council said.

It is said that Indian jewelers export the diamond studded sterling silver jewelry to many countries richly whereas the gold import declines because of the heavy import duties. The scarcity of gold has compelled the jewelers to switch from gold to silver exports.