Gold Demand Trends
Gold Demand Trends Full Year 2013
Published 18th February 2014
1 Available in English, Francais, Deutsch, 中文, 日本語.
Managing Director, Investment Strategy
The World Gold Council's Gold Demand Trends (GDT) is the leading industry resource for data and opinion on world-wide gold demand. Our quarterly publication examines demand trends by sector and geography.
This section of the report considers the main themes to have emerged in global gold demand through 2013.
- Jewellery: 2013 saw the largest volume increase in jewellery demand for 16 years as consumers across the globe reacted to lower gold prices. Full year demand was 2,209.5t, 17% above 2012 and the highest level since the onset of the 2008 financial crisis.
- Investment: 2013 was a year of contrast between the different elements of gold investment. Demand for bars and coins surged to an all-time high of 1,654.1t as individual investors took advantage of lower prices, while large-scale selling of more tactical ETF positions by western investors generated outflows of 880.8t.
- Technology: Annual demand for gold used in technology stabilised at 404.8t, from 407.5t in 2012. The lower price environment and improved global economic outlook was supportive for gold used in a range of applications in the sector.
- Central Banks: Net purchases by central banks increased global official gold reserves by 368.6t. 2013 was the fourth consecutive year of net purchases, albeit at a slightly reduced pace due to the environment of heightened gold volatility and slower foreign reserve accumulation.
- Supply: In 2013 the supply of gold declined 2% to 4,339.9t as a drop in recycling activity (in response to lower gold prices) more than offset growth in mine production.
Gold demand of 3,756.1 tonnes in 2013 was worth US$170.4bn. Consumers generated exceptional levels of demand, with jewellery at its highest since the onset of the financial crisis in 2008 and investment in small bars and coins hitting a record high. This was in contrast to large-scale outflows from ETFs, due to a number tactical western investors liquidating their positions as US economic sentiment improved. Central banks made healthy purchases of 368.6 tonnes, the fourth consecutive year of positive demand. The net result was a 15% decline in overall gold demand from 2012.
Key demand data
GDT Full Year 2013 infographic
Demand statistics (in tonnes and value)
|2012||2013||Q4'13 vs Q4'12||4-quarter2|
|Tonnes||2012||20131||Q1||Q2||Q3||Q4||Q1||Q2||Q2||Q41||% chg||% chg|
|Total bar and coin demand||1,289.00||1,654.10||352.9||295.7||294.6||345.9||441.1||585.2||300.8||327||-5||28|
|Physical Bar demand||962.7||1,266.90||271.2||217.4||215.7||258.3||330.2||449.9||239.4||247.4||-4||32|
|ETFs & similar products3||279.1||-880.8||53.2||0||137.8||88.1||-176.5||-402.2||-121.8||-180.3||-||-|
|Central bank net purchases||544.1||368.6||117.8||163.5||112.3||150.4||129.1||82.4||96.2||61||-59||-32|
|London PM fix, US$/oz||1,669.00||1,411.20||1,690.60||1,609.50||1,652.00||1,721.80||1,631.80||1,414.80||1,326.30||1,276.20||-26||-15|
|2012||2013||Q4'13 vs Q4'12||4-quarter2|
|US$mn||2012||20131||Q1||Q2||Q3||Q4||Q1||Q2||Q3||Q41||% chg||% chg|
|Total bar and coin demand||69,169.00||75,049||19,179.00||15,301||15,646||19,149||23,139.00||26,618.00||12,827.00||13,417.00||-30.00||10|
|Physical Bar demand||51,655||57,483||14,742||11,251||11,455||14,300||17,323||20,462||10,207||10,153||-29||32|
|ETFs & similar products3||14,975||-39,964||2,892||-1||7,317||4,879||-9,261||-18,297||-5,192||-7,396||-||-|
|Central bank net purchases||29,193||16,724||6,404||8,462||5,967||8,323||6,771||3,747||4,101||2,503||-70||-41|
2Percentage change, 12 months ended December 2013 vs 12 months ended December 2012.
3Exchange Traded Funds and similar products including: Gold Bullion Securities (London), Gold Bullion Securities (Australia), GLD® (formerly streetTRACKS Gold Shares), NewGold Gold Debentures, iShares Comex Gold Trust, ZKB Gold ETF, GOLDIST, ETF Securities Physical Gold, ETF Securities (Tokyo), ETF Securities (NYSE), XETRA-GOLD, Julius Baer Physical Gold, Central Fund of Canada and Central Gold Trust, Swiss Gold, iShares Gold Bullion Fund (formerly Claymore Gold Bullion ETF), Sprott Physical Gold Trust, ETF Securities Glitter, Mitsubishi Physical Gold ETF, CS ETF II (formerly Credit Suisse Xmtch) and Dubai Gold Securities.
Source: Thomson Reuters GFMS, LBMA, World Gold Council
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Data on the supply and demand for gold is compiled by Thomson Reuters GFMS. The company provides a number of tables exclusively for the World Gold Council. Please refer to the notes and copyright information for details regarding the restrictions on disseminating these data. Thomson Reuters GFMS should be contacted for further information or for historical data. In addition, certain data is available on Bloomberg.
Compare consumer demand by region, category and time period in the Regional analysis section.
Gold Demand Trends FY 2013 video
Marcus Grubb, Managing Director Investment Strategy, talks through the findings from the Full Year 2013 Gold Demand Trends report.