Quarter report suggests global demand for platinum jewellery exceeded 500 koz for the first time since Q4 2021
Mumbai: The global platinum market is expected to face a significant deficit for the second consecutive year in 2024, largely driven by robust demand in the jewellery sector, according to the latest Platinum Quarterly report from the World Platinum Investment Council (WPIC).
This quarter, global demand for platinum jewellery exceeded 500 koz for the first time since Q4 2021, marking a 5% year-on-year increase, spurred by a widening price gap between platinum and gold. In India, platinum jewellery fabrication has surged by 15% year-on-year, fueled by strong exports to markets such as the US, UK, and UAE. Meanwhile, fabrication in Europe and China saw increases of 7% and 5%, respectively.
Despite the overall market projecting a deficit of over 1 million ounces, the jewellery segment shines as a bright spot. Demand for platinum jewellery is expected to grow by 7% year-on-year in 2024, reaching 1,994 koz—its highest level since late 2021.
India is anticipated to witness even stronger growth in jewellery fabrication, projecting a remarkable 28% increase. In Japan, demand is forecast to rise by 8% year-on-year to 365 koz, marking the highest level since 2019. European offtake is also set to hit record levels, growing by 4%, while North American demand is projected to grow by 3%. Notably, China’s fabrication is expected to improve by 3%, reversing a decline that has persisted since 2013.
The widening price gap between platinum and gold has made platinum an increasingly attractive choice for jewellery buyers.
As a major player in the jewellery market, India is experiencing significant growth in platinum jewellery fabrication, with exports to key international markets driving this trend.
However, this optimistic outlook occurs amid a complex market environment. While demand remains strong, overall platinum supply is projected to decline by 1% in 2024. This reduction is attributed to cost-driven restructuring in South Africa, a key producer, alongside a slowdown in the platinum chemical industry.
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