Silver demand and silver deficit

Worldwide demand for silver was 1.24 billion ounces last year. The deficit was 237.7 million ounces of silver, according to the Silver Institute. This was the second year in a row that there was a deficit in the precious metal. To be clear, the Silver Institute expects solid silver demand for the current year as well. Industrial demand is even expected to reach an all-time high. Even if demand from the coin and bar sector and from the jewelry sector is lower than in previous years, industrial demand will more than compensate for this. And since silver supply is unlikely to grow, a deficit is also expected this year.

In 2022, industrial demand grew by five percent, and there was a 22 percent increase in physical investment. In jewelry, the increase was 29 percent and in silverware it was an 80 percent increase, mainly caused by Indian demand. In jewelry, too, pent-up demand from India ensured a new record level. In physical silver, India again excelled. An increase of 188 percent was recorded here. An important factor is the demand from the photovoltaic sector, which amounted to around 140 million ounces of silver in 2022. This sector is therefore experiencing tremendous growth. Electromobility, the expansion of 5G networks and the construction industry also made not insignificant contributions to the increased demand for silver. Since 2023 should also be an excellent silver year, stocks of silver companies in the portfolio could not hurt.

MAG Silver – https://www.commodity-tv.com/ondemand/companies/profil/mag-silver-corp/ – owns 44 percent of the Juanicipio silver mine (now in the commissioning and ramp-up phase) in the Fresnillo Trend in Mexico. There are other high-grade properties in North and South America.

Tier One Silver – https://www.commodity-tv.com/ondemand/companies/profil/tier-one-silver-inc/ – has other projects in the country (Hurricane, Coastal Batholith, Corisur) in addition to the main Curibaya project in Peru.

Current corporate information and press releases from MAG Silver (- https://www.resource-capital.ch/en/companies/mag-silver-corp/ -) and Tier One Silver (https://www.resource-capital.ch/en/companies/tier-one-silver-inc/ ).

In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.

Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 – 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/