The star shooter won his second medal of the tournament with a score of 216.7 in the final.
Japan's Tomoyuki Matsuda shot gold with a world record total of 240.1 points, while Xuan Vinh Hoang of Vietnam bagged silver medal with 236.6 points.
Earlier on Monday (Feb 27), Rai clinched gold with Heena Sidhu in the 10m mixed team air pistol event.
However, since the mixed event is being used on a trial basis in line with IOC's aim to achieve gender equality in its 2020 Tokyo Olympics program, medals are not being awarded even though the ISSF executive committee has ratified the recommendations.
They were trailing in the semifinal stage but staged a spirited fightback to enter the gold medal match and eventually won the 'golden badge'.
"It was good, very interesting, opinions are still divided since it is early days. It will take time to settle down.
"But we will have to start preparing for this in earnest as this, we assume, is going to be part of the Olympics and World Championships," Heena, a former world number one, said after the event.
World Championship and Asian Games silver medallist Jitu said, "I am trying to figure out how it works. We are having a little difficulty right now as far as coordination is concerned but once the rules gets clear it will be better for us."
Earlier last year, Rai had a forgettable performance at Rio Olympics 2016 as he failed to win any medal in the global sporting extravaganza. He was among India's big medal prospects at Rio.
This is India's third medal so far in the tournament. Fireworks followed two days of lull for India when Ankur Mittal clinched the silver medal in a marathon double trap final.
The 24-year-old Mittal finished second on the podium after he tallied 74, one behind gold medal winner James Willett of Australia.
Great Britain's Steven Scott was third on the standings with 56. Fellow team-mate, Sangram Dahiya also featured in the top six but could manage only 24 points in the final.