Koos Jansen
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Koos Jansen
Posted on 1 Dec 2015 by

Silver Maple Leaf Sales Surge 76 % Y/Y

In the third quarter 9.5 million ounces (295 tonnes) of silver were sold in Maple Leaf Coins by the Royal Canadian Mint, according data released on Friday. Third quarter silver coin sales at the Canadian Mint were up 76 per cent from the third quarter in 2014 and up 40 % from the second quarter in 2015.

The data available on the website of the Royal Canadian Mint shows Q3 silver Maple Leaf sales were the highest since Q2 2011 (346 tonnes) when the silver price peaked above 45 US dollars an ounce. Currently, spot silver is trading at 14.25 US dollars an ounce. Many retail precious metals investors have taken the opportunity this year to buy silver coins at bargain prices while there still is great economic uncertainty around the world.

Silver Maple Leaf Coins Q3 2015

Year to date Maple Leaf sales have reached 784 tonnes of silver, which is 1,046 tonnes annualized. The annualized pojection would be the highest yearly sales by the Canadian mint on record.

Silver Maple Leaf Coins Q1-Q3 2015

Silver Maple Leaf sales have significantly increased since the financial crisis. In 2006 annual sales barely transcended 75 tonnes, in 2014 total sales reached 908 tonnes. The same trend is visible at the US Mint, where in 2006 a modest 332 tonnes in silver coins were produced (mainly American Eagles), in 2014 a staggering 1,390 tonnes in silver coin was minted.

Silver Maple Leaf Coins Q1-Q3 2015 ag

The production of silver American Eagles at the US Mint accounted for 444 tonnes in Q3 2015, up 74 % year on year. Year to date (Q1-Q3) the US Mint has produced 1,153 tonnes in silver coins, which is 1,538 tonnes annualized (a virtual all time record).

Data from The Silver Institute indicates yearly coin demand (3,347 tonnes, 2014) is roughly 10 % of total physical demand (33,178 tonnes, 2014). Though, in 2015 coin demand will likely have a far greater share of total demand, as the output of just two mints (Canada & US) is set to reach 2,584 tonnes.

Maple Leaf BullionStar 2015 silver

Koos Jansen
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  • Big_Shiny_Au_Nuggets

    The new normal… demand goes up; price goes down.

    In other news: gravity now accelerates away from the greater mass; water is no longer wet; and the political/ financial/ military industrial complex tells the truth and acts in the interests of planet earth.

    Nothing to see here. Move along.

    • JanNieuwenhuijs

      In theory, an increasing amount of silver (or gold) sold would not imply the price must go up. If supply is stronger than what we see as demand the price can go down accordingly.

      • Big_Shiny_Au_Nuggets

        Certainly. And supply does seem to be meeting demand… for the time being at least.

        Wider market factors do not seem to be priced in to precious metals however. Such forces include: global consumption far outweighing global production; mine production suffering at the hands of decreased mine viability… despite oil costs being low; the threat of wider, large scale military conflict; and the vast amounts of currency being put in to circulation over recent years by way of extraordinary monetary policy.

        Clearly the paper ETF scam and the propaganda campaign against hold are successfully manipulating the ‘price’… for the time being at least.

      • Gustav

        As I remember, for example, the physical demand exceeded the supply of silver in 2014, according to the Silver Institute.

        • JanNieuwenhuijs

          Yessir. 2015 will likely be the third year in a row for a phyz deficit. It happens more often, but still. Estimated above ground reserves 50,000 tonnes …

          • Gustav

            Thanks for the info. What is the source of the “estimated above ground reserves 50,000 tonne”, and the ownership?

  • John D

    Given the price of silver I can not see supply from primary silver mines increasing any time soon. The large silver miners I follow are really struggling and reducing production to profitable higher grade zones (e.g. TSX.FR).

    Given that silver is supplied primarily as a by-product of poly-metalic mines it is clear from the price declines in zinc and lead that these mines too are in serious trouble and supply is unlikely to increase anytime soon from this source either.

    Again, at these prices recycled scrap isn’t going to materialise from the wood-work either.

    Sooner or later paper prices all catch up with the reality that supply is declining whilst demand is surging.

  • https://www.bullionstar.com/ Torgny from BullionStar

    I can add that RCM could have sold much much more during the third quarter but that they simply couldn’t keep up supply after the demand why there were widespread shortages…

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