Global gold production is likely to keep falling, said Barrick Gold (NYSE: GOLD TSE: ABX) boss Mark Bristow, on Tuesday.
Bristow spoke at African Mining Indaba, the continent’s biggest gathering of one of its most vital industries.
Gold demand fell 1% in 2019 as a huge rise in investment flows into ETFs and similar products was matched by the price-driven slump in consumer demand, the World Gold Council (WGC) said in its latest report.
2019 was broadly a year of two distinct halves: resilience/growth across most sectors in the first half of the year contrasted with widespread y-o-y declines in the second
2019 was broadly a year of two distinct halves: resilience/growth across most sectors in the first half of the year contrasted with widespread y-o-y declines in the second, the WGC reported.
Global demand in H2 was down 10% on the same period in 2018 as y-o-y losses in Q4 compounded losses from Q3, notably in jewelry demand and retail bar and coin investment. Central bank demand also slowed in the second half – down 38% in contrast with H1’s 65% increase.
There is also a fear that the outbreak of the new coronavirus could harm the production of gold from China – the largest producer in the world – and Chinese imports, since the country also imports the commodity to supply its domestic demand.
The China Gold Association also recently reported that demand for gold in China had fallen in 2019.