The Silver Institute's "World Silver Survey 2012" report hasn’t surprised investors and market participants. Silver mining output hit record highs last year, while silver demand from end users and investors remained robust – despite silver's correction phase which started close to a year ago. The Silver Institute is one of the most important organisations in the silver sector, comprising producers, dealers and numerous companies that use silver. Thus, this study is of significance.
Although global investment demand dropped slightly to 282.2 million ounces (8,766 tonnes) this marginal decline isn’t too consequential, since in 2011 silver registered a higher average price than in the previous year. As a consequence, the financial value of global silver demand reached a new record high of almost $10 billion – a 73% increase on the previous year. Demand for silver coins and medals climbed by 129% to a new record high of 118.2 million ounces (3,677 tonnes). In comparison with 2010 demand for silver bars increased 67% to 95.7 million ounces (2,975 tonnes).