Silver Price Could Benefit From Increased Solar Sector Demand
Resource Investing News recently spoke with Andrew Leyland of Thomson Reuters GFMS. His thoughts on silver demand from the solar industry are particularly interesting, especially in light of an article published Monday by The Telegraph.
Last week, Resource Investing News had the chance to speak with Andrew Leyland of Thomson Reuters GFMS about the World Silver Survey 2015, an extensive report prepared annually by GFMS on behalf of the Silver Institute. While Leyland provided significant insight into key silver price, supply and demand trends for 2014, also giving some information on what may lie in store for 2015, his thoughts on silver demand from the solar industry are particularly interesting, especially in light of an article published Monday by The Telegraph. Here's a look at what silver demand from the solar industry currently looks like, and why it may increase moving forward. Silver demand in 2014 Speaking about 2014 silver demand, GFMS states in its report that it clocked in at 1,066.7 million ounces, the fourth-highest level since 1990. In terms of where exactly that demand came from, the firm notes that coins and bars and silverware are key sources of silver demand, though offtake from those sectors was weaker in 2014 than in 2013. Interestingly, silver demand from the jewelry sector saw a slight uptick in 2014, reaching a record 215.2 million ounces. The rise there was largely driven by increased demand from India, which offset "sizable falls in China and Thailand." Those sectors certainly require a lot of silver, but they're dwarfed by industrial fabrication demand, which accounted for 594.9 million ounces, or 56 percent, of all physical silver demand in 2014. Leyland spoke briefly about a couple of fields in that sector to watch, with one being the wearable tech market. "Certainly it's a growing market, [and] we see continuing movement towards wearable tech," he said.