Silver, a precious metal rarer than gold, is often a byproduct of copper, lead, and zinc mining. Around 70% of silver production originates from these extractions, resulting in an annual yield of approximately 20,000 tonnes.
Dating back to the 5th millennium BC, silver was used by ancient civilizations for various purposes. Egyptians called it “lunar metal,” and Greeks introduced silver coinage in the 6th century BC, solidifying its monetary role. Silver held significant political and economic power, often exceeding gold in value until the 20th century.
Beyond currency and jewellery, silver’s versatility extends to electrical engineering, photography, and even food technology and pharmaceuticals due to its antimicrobial properties. In 2007, major industrial silver consumers included the United States (23%), India and Japan (16%), and Italy (7%).
Driven by consistent demand and dwindling supplies, silver prices have steadily risen in recent years. This scarcity contributes to the metal’s price volatility.
Major silver-producing countries include Mexico, Peru, and Australia, with significant contributions from China, Poland, Russia, Canada, and the USA. These nations play a crucial role in supplying the global silver market.
Key silver trading hubs include the New York Mercantile Exchange (COMEX), the Tokyo Commodity Exchange, the Chicago Board of Trade, and the London Bullion Market. The total value of silver traded on these exchanges is estimated at around 17 million US dollars. These markets facilitate silver trading for investors and businesses, influencing daily silver prices.