The dictionary defines spot price as "the price at which a physical commodity for immediate delivery is selling at a given time and place."

So if all dealers are only willing to sell physical silver for immediate delivery for $35+... then that's what the spot price is. By definition. Yes I get that manufacturing and delivering a product takes money and the seller wants to make a profit too, but note that all these things are included in the spot price, by definition.

It's nonsensical to say that the spot price is $27 but you can't actually get physical silver for $27 anywhere (unless you pay $8 premium). That violates the very definition of "spot price."