Business · India Bureau
India eases silver import curbs ahead of Diwali festive season
Relaxed import restrictions are expected to boost silver supplies and ease price premiums in India as the festive season approaches. However, demand forecasts suggest purchases may remain below last year's levels.
LSN India ·
India's silver market is poised for relief as authorities have eased import restrictions, opening fresh avenues for metal inflows ahead of the Diwali season. The move comes as jewellers and traders face persistent supply constraints that have kept prices elevated.
The release of new import permits is expected to alleviate supply bottlenecks and help moderate the premium premiums that have characterised the silver market in recent months. Industry observers anticipate that improved availability will make purchasing decisions easier for consumers during the festive shopping period.
Despite the supply-side optimism, demand projections for the upcoming season appear subdued compared to the previous year. Several factors, including macroeconomic conditions and consumer spending patterns, are expected to weigh on purchases during the Diwali period.
The balance between eased supply and moderated demand will be closely watched by silver traders and jewellery merchants as they prepare for one of the year's most significant selling seasons. The festive season traditionally drives substantial precious metals consumption across India, making government trade policy decisions significant for the sector.