New York, NY (PRWEB) March 20, 2013
According to data published by Bullion Street and Statistics South Africa, the former number one in gold production saw output fall by 8.1 percent in terms of volume in January. This comes just months after the agency released numbers revealing an even more drastic output drop of 32.2 percent in November of last year. Just two decades ago, South Africa led the world in gold production. The country’s output peaked at an average of 1,000 tons in 1970, but by 2012, that outstanding amount had dwindled to a meager 220 tons. In the wake of the nearly 80 percent drop in South Africa’s production, countries like Australia, China and the U.S. overtook the fallen giant, and Russia now threatens to do the same. Dwindling global gold supply is cited by analysts as an influential factor in the predicted continuation of gold’s historical bull market.
Arthur McGuire, Vice President of Gold Price, says, “South Africa’s fall from the top of the list of gold producing nations is part of a global trend. Gold output the world over is on the wane, which should cause the price of one of the best performing asset of the last decade to rise even higher. It’s Economics 101, simple supply and demand. The loss of production worldwide is so drastic that some are even predicting that we’ll see a production cliff in just a few short years. Gone, kaput. Regardless of this possibility, the truth is that there simply isn’t as much gold in the ground as there used to be, and those who buy gold to protect wealth now will profit from this scarcity in the years to come.”
Gold Price (GoldPrice.net) is a leading precious metals advisor since 1992 with headquarters in New York, California, Texas, Utah, New Mexico and Puerto Rico. Gold Price is also a direct gold and silver dealer, specializing in purchasing, selling and trading physical gold and silver, such as modern bullion bars/coins and certified rare coins. They offer investors a free award-winning gold starter’s kit by visiting http://www.goldprice.net or calling 1-800-767-1423.