Amid profit-booking by participants at existing levels, silver prices fell Rs 80 to Rs 40,608 per kg at the futures trade.
However, a firm trend in precious metals overseas, capped the losses.
Silver for delivery in March was trading lower by Rs 80 or 0.2 per cent to Rs 40,608 per kg in a business turnover of 480 lots at the Multi Commodity Exchange (MCX).
On similar lines, the white metal for delivery in far-month May fell Rs 55 or 0.13 per cent to Rs 41,210 per kg with a moderate business turnover of nine lots.
In the international market, silver was up 0.45 per cent at $16.61 an ounce in Singapore.
Market analysts said emergence of profit-booking by speculators after recent gains, mainly kept pressure on silver futures prices.