Silver Price In Ahmedabad Is Rs 17,000 Lower Than In Visakhapatnam; Why?

A social media post has gone viral after it highlighted a significant price difference between two Indian cities, Ahmedabad and Visakhapatnam. Currently, silver is available at Rs 1,89,000 per kg in the

capital city of Gujarat, while the precious metal is being sold for Rs 2,06,000 per kg in the port city of Andhra Pradesh, leaving a difference of Rs 17,000.

In her social media post, Nalini Unagar, known as @NalinisKitchen on X, suggested a business idea: The difference in the silver price between Ahmedabad and Visakhapatnam is Rs 17,000, while the train ticket cost is Rs 2,000.

1 kg Silver Price
– Ahmedabad: ₹1,89,000
– Visakhapatnam: ₹2,06,000

Return Train (Ahmedabad → Visakhapatnam): ₹2,000

Gross Profit: ₹17,000
Tax: ₹510
Net Profit: ₹14,490 (per trip, ~3 days)

If repeated 3–4 times a month, total monthly profit ≈ ₹43,000 – ₹58,000

— Nalini Unagar (@NalinisKitchen) October 14, 2025

She deducted travel costs and basic tax and estimated a net profit of Rs 14,490 per trip, in about three days. “Repeat this 3-4 times a month,” she noted, “and you could earn Rs 43,000-Rs 58,000.”

Social media users reacted to the posts. An X user said, “Silver price gaps between cities show how uneven India’s bullion logistics and local demand really are.”

Why Do Silver Prices Differ Locally?

Traders said transportation costs, local demand, dealer margins, and varying levels of purity and making charges often lead to such price differences across cities. Cities like Ahmedabad, one of India’s key bullion trading hubs, often benefit from lower logistics costs and higher market liquidity, which help keep prices relatively lower as compared with other cities.

‘Though Price Difference Looks Appealing, Not Easy To Capture’

However, some users say the price difference looks amazing but it is not easy to capture it.

“While the math on this specific silver route looks appealing on the surface, capturing that kind of spread consistently requires overcoming significant friction costs and market inefficiencies,” a user said.

Another user said, “The calculation looks fine on paper, but in reality, it’s not that simple. Dealer margins, making charges, travel risks, and hidden costs can reduce the actual profit. Also, carrying large amounts of silver without proper invoices can attract questioning or seizure by authorities. It’s profitable only if done legally and with all documents in place.”

A chartered accountant said in reply to the post on X, “There is huge spread in buying and selling rate. While buying price is ~2L, selling price is ~1.8L. So, even if you buy in Ahmedabad at 1.89L, you won’t be able to sell at a price >1.89L.”

What Is The Price Of 22kt, 24kt Gold Rates Today In India Across Key Cities On October 15?

City	22K Gold (per 10gm)
Delhi	Rs 1,90,000
Visakhapatnam	Rs 2,06,000
Ahmedabad	Rs 1,89,000
Pune	Rs 1,90,000
Mumbai	Rs 1,90,000
Hyderabad	Rs 2,06,000
Chennai	Rs 2,06,000
Bengaluru	Rs 1,95,000
Kolkata	Rs 1,90,000

Source: Goodreturns.in

In the international market, silver rose 2.3% to $52.64, after having hit a record high of $53.60 on Tuesday, tracking gold’s rally and amid tightening supply in the spot market.

Silver Prices May Hit $60 In A Year: Report

Silver may see an upside of around 20% over the next one year, with prices expected to reach $60 per ounce, according to the latest outlook by Emkay Wealth Management, the wealth and advisory arm of Emkay Global Financial Services. The report attributes this bullish forecast to a growing industrial demand and a persistent supply deficit of nearly 20%, which is likely to continue in the foreseeable future.

According to the report, gold returns have matched equities and outperformed bonds since the end of the gold standard. So far, gold has delivered returns of over 65% year-to-date, compared with 4.2% for Indian equities (Nifty 500 TRI) and 8.4% for bonds (Crisil Short Term Bond Index). Precious metal prices, the report noted, remain closely linked to movements in the US dollar. Expected rate cuts in the US could weaken the dollar, further supporting gold and silver prices.