Customers look for their gold products at Bao Tin Minh Chau shop. — Photo Tigiavang.net

HA NOI(BizHub)— Viet Nam ranked sixth among the world's largest gold consuming countries in 2012, according to PricewaterhouseCoopers LLP's latest research for the World Gold Council.

The 54-page Direct Economic Impact of Gold report found gold supply reached 4,477 tonnes in 2012, with approximately two-thirds coming from mining and one third from recycling of gold, marking an increase of 48 per cent from the 3,017 tonnes produced in 2007.

The study said demand increased 42 per cent between 2007 and 2012, peaking at 4,582 tonnes in 2011.

In 2012, investment demand (consisting of bars, coins and gold-backed exchange traded funds (ETFs) accounted for 35 per cent of global gold demand, central bank gold purchases 12 per cent, jewellery 43 per cent and technology/manufacturing use accounted for around 10 per cent.

While Viet Nam is not mentioned as a good producer of gold in the study, it was included in the 13 largest gold consuming countries. This group accounted for 75 per cent of gold used for fabrication and 81 per cent of gold used for (final) consumption, either in the form of jewellery or investment products such as small bars and coins, with India, China, the US, Turkey and Thailand leading the way.

The report also said Viet Nam spent more than US$8 billion in 2012 to buy 76 tonnes of gold for fabrication and another 77 tonnes of gold for consumption. Meanwhile, after the State Bank of Viet Nam took control of the local gold market and became the only importer of gold, roughly 60 tonnes of gold had been sold since March.

On Tuesday, the Saigon Jewellery Company (SJC) posted a rate of VND37.21-37.27 million ($1,771-1,774) on its website at 3pm, while the global price rose to $1,312.7 per ounce or $1,582 per tael on the kitco.com trading floor, leaving retail prices in Viet Nam $192 higher per tael than the world price.— VNS