Page 38 - Bullion World Issue 1 May 2021

Bullion World | Issue 01 | May 2021

are rapidly becoming the option of choice for investors.

Australia ready to fulfill global demand
The real driver of sentiment however, isn’t the market commentary on price action
for either gold or silver. Rather it’s the pressure on international networks to meet
the increasing demand for bullion products. All of which, makes Australia a secret
weapon in the global supply chain.

It’s no secret that Australia is mineral rich. We hit the geological jackpot. But along
with bounty of mineral riches, we have the intellectual capital to extract and process
these materials to meet – and exceed – expectations. We have the largest known
resource of gold – more than 10,000 metric tonnes. Russia is a distant second with
only 7,500 metric tonnes of gold. Another bow in our arrow, is that 2021 marks the
year that Australia became the world’s largest producer, taking the title from China for
the first time in 14 years. Australia is tipped to pour 384 tonnes of gold this year.
The mantle of largest producers is simply because Australia was affected by the

Australia now the world’s largest gold producer

same events that crippled global supply
chains of precious metals during 2020.
Australian miners and refiners didn’t have
the same interruption to production that
others around the world did. In short, we
didn’t shut down the machines so Aussie
refiners were able to meet international
demand. As a result, much our gold
exports last year were shipped to London
to fulfill good for delivery obligations.

Furthermore, with the populace settling
into life with the pandemic, demand
for precious metals is expected to
increase this year. Jewellery demand
from China and India is likely to hit Developing, Driving and
Australian miners and refiners didn’t have double digit growth this year. This will
the same interruption to production that also be compounded with rising investor Connecting ASEAN’s Bullion Market
demand wanting bullion bars and coins.
others around the world did. In previous years there have been ‘ebbs
and floods’ of precious metal demand. The SBMA is the principal market development agency for the precious metals trade in
Jewellery and bullion have taken their Singapore.
Pandemic has changed Australia’s gold export market turns at being the most sought-after
product. Our mission is to develop Singapore as ASEAN’s precious metals trading hub.

2021 is tipped to be the year jewellery As the first touch point between governmental/regulatory bodies and market
and investor demand collide from all participants, we maintain good links and relationships with fellow associations in ASEAN
pockets of the globe. Here at ABC countries and beyond, further connecting our market participants through networking
Bullion, we look forward to helping clients events and outgoing business missions to these countries.
navigate this new market dynamic.
We are also a source of industry knowledge and information, and can share best
practices and industry know-how.

For direct enquiries, please email
Albert Cheng, CEO Margaret Wong, Business Manager
albert.cheng@sbma.org.sg margaret.wong@sbma.org.sg
Shae Russell has been an
investment writer focusing on For more information, please visit our website at www.sbma.org.sg
bullion and precious metals
miners for the past 15 years.
Singapore Bullion Market Association
9 Raffles Place, Level 58, Republic Plaza, Singapore 048619, Telephone: +65 6823 1301

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