With fewer than eight weeks to go to the opening of the 2019 CIBJO Congress in Manama, Bahrain, on November 18, 2019, the third of the CIBJO commissions’ Special Reports has been released. Prepared by the CIBJO Precious Metals Commission, headed by Huw Daniel, the report examines the increasing readiness of national authorities, particularly in the United States, to examine the integrity of the gold supply chain. The report also provides an overview of supply, demand and their effect on prices in the gold, platinum, palladium and silver markets.

“In a time of increasing uncertainty, investors predictably are seeking safe havens in these commodities, and that has implications on price. However, the outlook for demand is less clear, because the integrity of the gold supply chain has come under increasing scrutiny,” writes Mr. Daniel.

The focus on practices in the gold industry is coming from two different sources, the report notes. First, the mainstream media is intensifying reportage of “dirty gold” and issues around where and in what way the metal is sourced, and how it is moved through the supply chain. Second, the U.S government has given notice to the jewellery industry that, for purposes of national security, imported goods should be labelled with all of the countries they have passed through on the journey to the American consumer.

But, despite the increased pressure, the market-analysis section of the report predicts a favourable supply-demand balance for precious metals. But general, however, it is not jewellery that is the deciding factor, but rather the investment market or the automotive sector. In the case of palladium, for example, there has been increasing pressure on supply due to to auto-catalyst systems, because of stricter fuel emissions legislation being imposed globally.

To download a full copy of the CIBJO Precious Metals Commission’s special report, PLEASE CLICK HERE.