Daily Management Review

Global jewelry demand falls by 6% in 2019


Global demand for gold jewelry in 2019 decreased by 6% and amounted to 2.107 thousand tons, according to the Gold Demand Trends report of the World Gold Council, WGC.

"The sharp rise in gold prices in the second half of the year led to a reduction in global demand for jewelry," the report states.

One of the largest gold jewelry markets - China and India - has influenced demand.

Demand in China in 2019 decreased by 7% to 637.3 tons. Slowing economies, rising inflation, global trade disputes, rising gold prices and a shift in the tastes of the younger generation towards lighter, trendy jewelry have contributed to lower demand in 2019.

Demand in India fell by 9% to 544.6 tons.

In general, the amount that consumers in the world spent on gold increased in 2019. In dollar terms, the demand for gold jewelry grew by 3% to a five-year high of $ 94.3 billion. This was largely due to a 9% increase in demand in the fourth quarter (year to year), which reached $ 27.8 billion, a seven-year high.

Demand for jewelry in the IV quarter fell to the lowest level since 2011 - by 10% to 584.5 tons.

Weak demand can mainly be explained by a sharp jump in gold prices in the III quarter.

As a result, global demand for gold in the IV quarter fell 19% compared to the same quarter a year earlier to 1,045 thousand tons, while consumer demand fell 11.4% to 825 tons.

source: gold.org