Industry Analysis & Industry Trends
The Precious Metals Production industry has been highly volatile over the past few years, reflecting dramatic shifts in US dollar prices for precious metals and substantial variations in the value of the British pound against the US dollar. The industry is expected to generate revenue of £1.76 billion in 2011-12, compared with £782.3 million in 2006-07. This equates to annual growth of 17.6%. Industry revenue is expected to grow by 27.5% in 2011-12, reflecting much higher precious metal prices in US dollars. Although the British pound is expected to strengthen against the US dollar during the year, precious metal prices in local currency will still increase strongly, pushing up revenue. The industry is expected to generate profit of £224.1 million in 2011-12... purchase to read more
Industry Report - Starting a New Business Chapter
Firms face a number of barriers to entry into this industry. To trade effectively, firms that refine precious metals must signal to buyers that the stated precious metal content of the refined metal is accurate. Smaller firms tend to engage independent assayers to verify the grade of material produced, but larger firms typically seek membership of the London Bullion Market Association.
Historically, the members of the London bullion market compiled lists of accredited melters and assayers whose gold and silver bars they would accept without question in settlement against transactions. Those bars had 'London Good Delivery' status and their producers were on the 'Good Delivery List'... purchase to read more