InvestorQ : What are the key factors driving the demand and supply of silver?
Aswini Chikkodi made post

What are the key factors driving the demand and supply of silver?

Answer
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seema Upadhyaya answered.
2 years ago


Unlike gold, where demand predominantly comes from jewellery demand and investment demand, the demand and supply economics for silver are slightly different. Nearly 85% of the supply of silver comes from silver mines. The balance 15% comes from the recycling of scrap, which is a major source of silver. Silver has important industrial applications and when these products outlive their utility, the silver can be salvaged from them. On the demand side, there is an equal break-up between jewellery applications and industrial applications. For example, silver finds extensive applications in industries like electrical products, electronic components, photographic applications, solar cells and for soldering purposes.