Swiss Gold Exports to China and India Hit Multi-Year Highs
Context:
Swiss gold exports rose last year to their highest since 2018 as demand for bullion in China and India, the biggest consumer markets, recovered from a collapse early in the COVID-19 pandemic.
Relevance:
GS III- Indian Economy, Facts for prelims
Details:
- The coronavirus crisis upended the bullion market in 2020, hammering jewellery sales while triggering a rush among investors to stockpile gold, which is traditionally seen as a safe place to store wealth.
- Switzerland is the world’s largest gold refining centre and transit hub.
- India: In 2021, exports to India surged to 507 tonnes, up from 148 tonnes in 2020 and the most since 2015.
- China: Shipments to mainland China reached 275 tonnes, up from 30.5 tonnes in 2020 and the highest since 2018.
- Hongkong: Exports to Hong Kong rose to 79 tonnes, up from 27 tonnes in 2020 and the highest since 2018.
- The data suggests a weaker demand recovery in China than in India. Between 2012, when Swiss figures became available, and 2019, Switzerland exported 400 tonnes of gold a year on average to India and about 600 tonnes a year to mainland China and Hong Kong combined.
- Swiss shipments to the U.S. fell to 113 tonnes in 2021 from 508 tonnes in 2020. Exports to
- Britain declined to 76 tonnes from 130 tonnes.
-Source: The Hindu
