Global Gold Demand Outstrips Production: India’s Deficit Leads

A recent study conducted by market analysts at The Gold Bullion Company reveals that major gold-consuming nations are struggling to meet their demand through domestic mining, with India exhibiting the largest shortfall.

The research examined gold data across various countries to identify the disparity between consumer demand and mined production. The World Gold Council, the global trade association for the gold industry, provided the data used in this analysis.

The study identified the ten countries with the most significant gaps between gold consumption and mining output. Leading this list is India, where the demand for gold far exceeds domestic production. In 2023, India’s population of over a billion drove a gold demand of more than 747 tonnes, primarily for jewelry and gold bars. This translates to approximately 0.52 grams per person. However, the country’s mines produced only 15.1 tonnes, resulting in a demand that was 50 times higher than the supply.

China ranks second, with a population of over 1.4 billion and an annual gold demand of 909.7 tonnes. Despite having the highest mine production among the ten countries, it still falls short by a factor of two.

Turkey comes in third, with a 2023 mine production of 36.5 tonnes, significantly below its demand of 201.6 tonnes. Notably, Turkey’s gold demand per capita has increased from 1.13 grams in 2021 to 2.34 grams in 2023.

The United States also faces a production deficit. As the world’s largest economy, it mined approximately 166.7 tonnes of gold in 2023 but fell short of its demand by about 80 tonnes.

Rick Kanda, managing director at The Gold Bullion Company, emphasized the importance of sustainable metal production. He noted that such practices are crucial for conserving finite resources, reducing energy consumption, and minimizing pollution, thereby helping to mitigate climate change and protect ecosystems. He also highlighted that sustainable production supports a balanced approach to resource utilization, benefiting the environment, economy, and society as a whole.

Have you read?
World’s Most Fashionable Countries.
World’s Best Countries For Business Expats.
Best Non-Native English Speaking Countries In The World.
Countries With The Largest Household Size.
World’s Best (And Worst) Countries For Older People To Live In.