WGC: Annual Gold Supply Rose 2% in 2019

SEATTLE (Scrap Monster): The global gold supply rose by 2% over the prior year in 2019, says the Gold Demand Trends Report published by the World Gold Council (WGC). The decline in gold mine production was more than offset by increased supply of recycled gold, as gold prices hit record high levels. The total gold supply in 2019 was 4,776.1t, compared with 4,673.0t in 2018.

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Amidst 1% year-on-year decline in gold mine production, it was the sharp increase in recycled gold supply that helped to keep total gold supply at higher levels. The recycled gold supply totaled 1,304.1t, hitting the highest level since 2012. Over 2018, the supply recorded 11% surge. Meantime, the global gold mine supply totaled 3,463.7t. The world mine production recorded year-on-year decline for the first time since 2008, WGC Demand Trends Report said.

The recycled gold supply surged in response to the gold price rally. The supply recorded 16% year-on-year surge in Q4 ’19 to 335t. The South and East Asia as well as the Middle East regions reported sizeable increase in recycled gold supply. It must be noted that the annual average U.S. dollar gold price surged higher by almost 10% in 2019.