Since 2022, assets have grown more than eighteen times as Indian investors have expanded their investment base with investor participation in the stock market.
The research initially found that the ETP market was struggling to gain traction. However, over the past 18 months the situation has changed significantly, with inventories exceeding 58 million ounces (1,800 tonnes), an increase of 51 percent since the end of 2024.
Reshaping the landscape
“The launch of silver ETPs in India in 2022 has significantly reshaped the investment landscape. In about three years, their holdings have increased from just 2.1 million ounces (65 tonnes) in the first quarter of 2022 to over 38 million ounces (1,183 tonnes) in the fourth quarter of 2024, reflecting a compound annual growth rate (CAGR) of more than 200 percent,” the institute said in its new market research conducted by Metal. Focus.
Inflows into silver ETPs reached 25.1 million ounces (782 tonnes) in 2024, equivalent to 44 percent of the country’s physical investments for that year. “To provide some perspective, gold ETPs have struggled to attract a similar level of investor interest in India,” the report said.
The research shows that despite a recent increase in holdings, gold ETPs have accumulated just over 2 million ounces (64 tonnes) since their introduction in 2007.
In 2024, investments in gold ETPs amounted to 0.5 million ounces (15 tonnes), just 6 percent of India’s retail investments of 7.7 million ounces (239 tonnes) in 2023.
Modest sales
The research shows that India has become the second largest physical silver investment market in the world, and has at times eclipsed the US to take the number one spot. Besides these two countries, Germany and Australia are the other markets that are now crucial for the white precious metal.
“The country has a long tradition of owning physical silver, mostly in the form of bars. To put this in context, between 2010 and 2024, cumulative demand for Indian bars and coins was 840 million ounces (26,100 tonnes). As in the US, these holdings have generally been quite sticky, reflecting the typically bullish price expectations of Indian investors,” the study said.
However, there have been brief periods when the market has seen heavy liquidations, such as in 2020 when silver prices in Indian rupees soared. However, the sale was short-lived.
Currently, with silver prices soaring to record highs in the Indian rupee and breaching the psychological barrier of ₹1 lakh per kg, sales of the white precious metal have been modest, the institute said.
Current prices
“This largely reflects how entrenched positive price expectations are in India, with many investors looking for an international rate to return to its all-time high in dollar terms,” the report said.
On Friday, silver, which has been volatile since hitting $54 an ounce on October 17 this year, ended at $49,974 an ounce. In the Mumbai spot market, silver ended at ₹1,51,129 per kg. On MCX, silver futures for December delivery ended at ₹1,54,052 per kg. The white precious metal is up 73 percent this year on concerns about geopolitics, the global economy and the Sino-American tariff war.
The Silver Institute said that while silver purchases fell sharply in 2023, they remained historically high in absolute terms. “Additionally, 2024 saw a modest recovery, helped by the surprise cut in precious metals duties in July,” the report said.
Excluding the peak in demand in 2022, total purchasing in 2024 was the highest since 2015. The research predicts a slight decline as further price increases lead to both profit-taking and momentum buying, although the full-year total will be historically high.
Published on November 23, 2025
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