ET reported that silver's use in industrial applications is expected to gain nearly 7% to 484 million ounces in 2013 and an additional 6% to a record 511.6 million ounces in 2014.
GFMS suggests that the price of silver has room to climb in the next several years because of its use in industrial applications the biggest component in silver fabrication demand. Total silver fabrication demand includes industrial applications, jewelry, photography, coins and metals and silverware.
Last week, the global head of metals analytics at GFMS said that silver prices may climb as much as 38% in 2013 from current levels. Year to date, silver is up 20 percent, doubling gold's gain and is among the best performers among all commodities. Silver edged down to around USD 33 an ounce. In April 2011, it surged to a record near USD 50 an ounce only to lose about a third of its value in the following week, triggering heavy losses in many other commodities in the so called commodities flash crash.
For 2012, GFMS forecast silver industrial demand to be down 6% to 454.4 million ounces, citing a sluggish global economy particularly due to challenges posed by a three year old European debt crisis.
