Page 21 - Bullion World Issue 11 March 2022_Neat

Bullion World | Issue 11 | March 2022

The picture in 2020, was one of significant deficit, largely
because investment was extremely high. But, most of
the sectors on the demand side were strong. In the
supply picture over the last two years, you see that mine
supply recovered from COVID period last year with an
increase in production. But 2022, we don’t expect as
much production as in 2021.

On the demand side, it came off in 2021, largely because
of investment going down. The investment that went
Mr. Paul Wilson down, was mainly because of institutional, ETF funds,
CEO World Platinum investment Council and most of those were from South Africa where the
equities for the mining companies, which are clearly an
alternative for investors there. The dividend yields were
WPIC: Platinum Update very attractive and so there was quite a bit of switching

out of platinum ETF into Platinum equities.

This year is a continued recovery in the automotive
market, surprisingly, despite the chip problems. We are
optimistic going forward that we will have a surplus this
year. Perhaps it is about 600,000 ounces as opposed to
the 900,000 deficit that we had in 2020.

Our vision is really to be facilitators of the investment
market for platinum worldwide and what we would like
to see is an ongoing above 10 per cent contribution,
from investors towards the demand for platinum.
In 2019 and 2020, had investments of 20 to 23 % of
platinum demand, which was quite unusual. In the long
run, before we started up around about 3% contribution.

The supply picture has been constrained. That the
production of platinum will have reached the levels that
it was asked for in 2019. We have a temporary bump in

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