Western Africa: Silver Market 2024

Silver Market Size in Western Africa

After two years of growth, the West African silver market decreased by -0.1% to $X in 2021. Over the period under review, consumption, however, saw a slight contraction. Over the period under review, the market attained the maximum level at $X in 2012; however, from 2013 to 2021, consumption stood at a somewhat lower figure.

Silver Production in Western Africa

In value terms, silver production shrank modestly to $X in 2021 estimated in export price. In general, production, however, saw a perceptible reduction. The growth pace was the most rapid in 2017 when the production volume increased by 4% against the previous year. The level of production peaked at $X in 2012; however, from 2013 to 2021, production failed to regain momentum.

Silver Exports

Exports in Western Africa

In 2021, shipments abroad of silver including silver plated with gold or platinum increased by 2.5% to X tons, rising for the second year in a row after three years of decline. Over the period under review, exports, however, recorded a deep downturn. The pace of growth appeared the most rapid in 2016 with an increase of 182%. Over the period under review, the exports attained the maximum at X tons in 2012; however, from 2013 to 2021, the exports failed to regain momentum.

In value terms, silver exports skyrocketed to $X in 2021. Overall, exports, however, recorded a drastic downturn. The pace of growth appeared the most rapid in 2016 when exports increased by 145%. The level of export peaked at $X in 2012; however, from 2013 to 2021, the exports failed to regain momentum.

Exports by Country

Burkina Faso was the key exporting country with an export of about X tons, which recorded 64% of total exports. Nigeria (X tons) held an 11% share (based on physical terms) of total exports, which put it in second place, followed by Senegal (10%) and Guinea (5.9%). The following exporters - Mauritania (X kg) and Niger (X kg) - together made up 6.3% of total exports.

Burkina Faso was also the fastest-growing in terms of the silver including silver plated with gold or platinum exports, with a CAGR of +42.6% from 2012 to 2021. At the same time, Guinea (+16.7%), Senegal (+3.6%) and Niger (+1.7%) displayed positive paces of growth. By contrast, Mauritania (-10.4%) and Nigeria (-29.8%) illustrated a downward trend over the same period. While the share of Burkina Faso (+63 p.p.), Senegal (+7.4 p.p.), Guinea (+5.4 p.p.), Mauritania (+3.6 p.p.) and Niger (+1.9 p.p.) increased significantly in terms of the total exports from 2012-2021, the share of Nigeria (-81.9 p.p.) displayed negative dynamics.

In value terms, Burkina Faso ($X) remains the largest silver supplier in Western Africa, comprising 66% of total exports. The second position in the ranking was taken by Senegal ($X), with a 10% share of total exports. It was followed by Nigeria, with a 7.7% share.

From 2012 to 2021, the average annual growth rate of value in Burkina Faso stood at +45.9%. In the other countries, the average annual rates were as follows: Senegal (-0.7% per year) and Nigeria (-34.0% per year).

Export Prices by Country

The export price in Western Africa stood at $X per ton in 2021, rising by 14% against the previous year. Over the period under review, the export price, however, continues to indicate a pronounced descent. The most prominent rate of growth was recorded in 2020 an increase of 35%. Over the period under review, the export prices reached the peak figure at $X per ton in 2012; however, from 2013 to 2021, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2021, amid the top suppliers, the country with the highest price was Mauritania ($X per ton), while Nigeria ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Mauritania (+12.1%), while the other leaders experienced mixed trends in the export price figures.

Silver Imports

Imports in Western Africa

In 2021, overseas purchases of silver including silver plated with gold or platinum increased by 40% to X tons, rising for the second year in a row after four years of decline. In general, imports, however, saw a abrupt setback. Over the period under review, imports hit record highs at X tons in 2015; however, from 2016 to 2021, imports failed to regain momentum.

In value terms, silver imports surged to $X in 2021. Overall, imports enjoyed a prominent increase. The growth pace was the most rapid in 2018 when imports increased by 489% against the previous year. The level of import peaked in 2021 and is expected to retain growth in years to come.

Imports by Country

Nigeria represented the largest importing country with an import of around X kg, which accounted for 57% of total imports. Guinea (X kg) held the second position in the ranking, distantly followed by Senegal (X kg). All these countries together held approx. 33% share of total imports. Ghana (X kg) and Mauritania (X kg) took a little share of total imports.

Imports into Nigeria decreased at an average annual rate of -6.5% from 2012 to 2021. At the same time, Guinea (+34.6%), Senegal (+17.9%) and Mauritania (+10.4%) displayed positive paces of growth. Moreover, Guinea emerged as the fastest-growing importer imported in Western Africa, with a CAGR of +34.6% from 2012-2021. By contrast, Ghana (-14.5%) illustrated a downward trend over the same period. From 2012 to 2021, the share of Guinea and Senegal increased by +27 and +4.4 percentage points, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Nigeria ($X) constitutes the largest market for imported silver including silver plated with gold or platinum in Western Africa, comprising 10% of total imports. The second position in the ranking was held by Guinea ($X), with a 4.2% share of total imports. It was followed by Mauritania, with a 0.9% share.

From 2012 to 2021, the average annual growth rate of value in Nigeria stood at -5.5%. The remaining importing countries recorded the following average annual rates of imports growth: Guinea (+44.7% per year) and Mauritania (+24.4% per year).

Import Prices by Country

The import price in Western Africa stood at $X per kg in 2021, leveling off at the previous year. Overall, the import price recorded a significant expansion. The most prominent rate of growth was recorded in 2018 when the import price increased by 556% against the previous year. As a result, import price reached the peak level of $X per kg; afterwards, it flattened through to 2021.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Mauritania ($X per kg), while Senegal ($X per kg) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Mauritania (+12.2%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform

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