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While India and China dominate the demand for gold, both countries face different scenarios when comparing supply gaps.With its huge jewelry industry, India’s consumption is 50 times higher than its domestic supply. Meanwhile, China produces more than one-third of the gold it demands.This graphic compares gold demand (in tonnes) versus domestic gold production in 10 selected countries. The data comes from the and was compiled by as of 2023.
India’s Massive Gold Market
Gold holds a in India’s culture, considered a store of value, a symbol of wealth and status, and a fundamental part of many rituals. The metal is especially auspicious in Hindu and Jain cultures.With a population of over a billion, India tops our ranking with substantial gold demand, primarily for jewelry and gold bars.China ranks second, with demand driven primarily by gold’s role as a store of value, especially by the People’s Bank of China. Central banks seek gold as a hedge against inflation and currency devaluation. Since 2022, the People’s Bank of China has increased its gold reserves by 316 tonnes.In third place for gold demand, the U.S. consumed 249 tonnes in 2023, against a domestic supply of 167 tonnes.Turkey ranks fourth, with mine production in 2023 at 37 tonnes, which is five times lower than its demand of 202 tonnes.More By This Author:
Visualizing Gold Consumption Vs. Domestic Supply
