Jewellery stores rise on silver surge in Bengaluru

Bengaluru: With silver prices touching record highs, businesses are starting to mushroom in Bengaluru, particularly in popular shopping hubs like Malleswaram and Jayanagar, to capitalise on the demand for the metal.

Stores specialising in silver jewellery are expected to have doubled in the past year. And for good reason. On Monday, silver prices surged to a historic high of Rs 3.05 lakh per kg. 

“Customers are expecting prices to continue rising and reach record heights, unlike ever before,” said Goutham Badera, proprietor of Panchkesari Badera Jewellers.

“Hence, there is a lot of investment buying, which is silver bars and coins.” 

With three stores in city, Badera has increased silver stock at its outlets, not just to meet rising demand, but also to keep up with growing competition.

According to Srinivas R, secretary of Jewellers’ Association Bengaluru, only silver stores dealing in jewellery have seen an increase.

The proprietor of a recently opened silver store in Jayanagar said they are focusing on selling silver coins.

“With gold almost touching Rs 15,000 a gram, people are turning to silver despite booming prices,” the proprietor said. “We decided to expand our business and open a second store in South Bengaluru in Oct last, because there is clearly a demand. Customers want to buy silver and sell it when it reaches its highest price.”

To keep up with changing trends, many stores are changing marketing strategies.

Laabh Jewels in Wilson Garden is focusing more on everyday jewellery pieces falling within Rs 5,000 budget.

“For a business that’s focused on silver jewellery, the market’s not good right now. A jewellery set which would’ve cost around Rs 1,500 is now priced at Rs 10,000 or more. So we are mainly focusing on smaller everyday pieces that can fall within a budget. Since it’s pure silver, people don’t hesitate to spend Rs 5,000,” said Harsh Jain, owner.

But the demand for silver pujaware has dropped. “There has been no increase in the number of silver article stores,” he said. “The craftsmanship in silver jewellery has tremendously improved over the years; any design which can be made in gold can also be recreated in silver. So people who cannot afford gold jewellery are opting for silver pieces. Hence, jewellery stores have doubled.”

Barton’s on MG Road, known for silver gifting and puja items, has seen drastic drop in customers in past 6 months.

The market is likely to be bullish in 2026, says C Vinod Hayagriv, MD, C Krishniah Chetty Group of Jewellers. “We don’t know when there’s going to be a correction,” he said.

Hareesh V, Head of Commodity Research, Geojit Investments Ltd, said, “The metal is in deep supply deficit for 5 consecutive years, with global inventories shrinking as industrial, manufacturing & investment demand outpace output,” he said.

Silver prices to spike 20%

Silver prices are likely to go up over 20% in the next few months as demand for the white metal is surging exponentially due to a strong investor and bullish global sentiment.