Australia’s gold exports are forecast to hit a record high of AUD $25 billion in 2019-20 according to the Department of Industry, Innovation and Science’s September edition of Resources and Energy Quarterly (REQ).
The September REQ shows Australia remains the world’s second largest producer of gold, with production increasing by 6.3% in FY 2018–19 to 321 tonnes, equating to 9% of the world’s total supply in 2018.
ABC Refinery and Pallion provide assurance for consumers by using responsible sourcing and sustainability practices.
Palloys, the jewellery manufacturing and supply division of Pallion, recently attained certification from the Responsible Jewellery Council (RJC), the foremost standard setting and certification organisation in the world for the international jewellery industry.
In our last article on gold supply, we mentioned that one needs to be careful applying conventional commodity supply/demand analysis to gold.
Unlike many commodities, the share of industrial uses is very small, less than 10%. Most gold demand is either jewellery or investment of one sort or another.
When looking at any commodity, mine supply is an important factor into the overall supply/demand balance. The cost involved in getting a mine into operation can mean that they will continue to operate and produce their commodity at a consistent rate as long as the market price is above cash costs. The time involved in finding and building a mine can mean that increases in price do not result in new supply immediately coming into the market – often that occurs years later.