The new members represent an increase of 17% in production terms for the WGC and around 5% of total world gold production. This announcement will benefit the entire gold industry, with increased funding available to the WGC to develop and implement its gold marketing programmes internationally.
Founded in 1987, the aim of the World Gold Council is to stimulate and maximise the demand for and holding of gold by consumers, investors, industry and the official sector. As well as undertaking marketing initiatives to drive demand, the World Gold Council is also instrumental in working to lower regulatory barriers to the widespread ownership of gold products, helping to develop distribution systems and promoting the role of gold as a reserve asset in the official sector.
Commenting on this new announcement, Moaz Barakat, World Gold Council’s Managing Director for the Middle East, Turkey and Pakistan said:
“This announcement is not only to benefit the World Gold Council. The gold industry in general will benefit as the increase in funds will enable the Council to implement further marketing campaigns on a larger geographical scale. I hope that together with our existing and new members and the gold jewellery trade we maintain a healthy gold market.”
Barakat added, “The World Gold Council has played a major role in successfully reversing a declining demand period in some markets. The Council’s efforts have contributed to a world wide increase by 17% in value terms. This increase was in markets where we spent on marketing and promotional campaigns. Other markets that didn’t witness promotional campaigns only witnessed a 7% increase.”
Pierre Lassonde, Chairman of the World Gold Council, and President of Newmont Mining Corporation, one of the world’s largest gold producer, commented: “It’s with great pleasure that we are welcoming the addition of seven new members to the World Gold Council.
By joining the WGC these gold producers recognise the significant value created for the entire industry in the last three years, through both its marketing efforts and investment product creation. We look forward to welcoming even more new members in the months ahead, as we hope that all producers take the responsibilities of our industry to heart.”
“The past three years have been excellent for the gold industry as the price of gold has more than doubled from its secular low. The WGC has without a doubt made a significant contribution to this success. The creation of the first Exchange Traded Gold Fund (ETF) has been a phenomenal success, with close to 500 tonnes of gold taken up by investors in approximately 18 months. This is the most significant new gold product to ever come to the market. We plan to expand the reach of this product by listing it on multiple stock exchanges.”
The Council has never been in a better position to aggressively expand gold’s market share of the luxury goods business as well as its pre-eminent investment role.
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