The historical evolution of the gold market - the gold industry's big change: from the auction of mining rights to the opening of the gold exchange - the people see the "small yellow fish" again
The best way to prove yourself is to create a world famous brand - "Zijin 9999" gold ingot color
With the development of the monetary system, gold, although it has been Gradually lost the medium of exchange and the value of the measure of the monetary function, but still in international trade, international debt settlement and international reserves to maintain a certain monetary characteristics.
The so-called gold market is to determine the price of gold, reflecting the specific form of gold supply and demand, is the centralized gold and gold as the underlying financial instruments for the purchase and sale of trading venues and operating networks.
Reviewing the history of the world's gold market will help us gain a deeper understanding of Fujian Zijin Mining Co.
In the early 19th century, the world's earliest international financial market was first produced in London. In the London market, gold can be freely traded and gold coins can be freely exchanged. Most of the gold belonging to the Commonwealth gold-producing countries are transported to London to concentrate, and then through trade and then transported to all over the world, the gold market gradually formed.
In 1941, with the outbreak of the Second World War, the capitalist countries have given up the gold standard, the implementation of foreign exchange control, the provisions of the gold generally to be sold to the official foreign exchange agency or designated national banks. 1944, the Bretton Woods conference decided to set up the International Monetary Fund, member states agreed to use the dollar as a reserve currency, will be pegged to the national currency to maintain a Fixed exchange rate system, and the United States to the countries to assume the price of $ 35 per ounce unlimited exchange of gold obligations, which is the so-called "gold exchange system". Because of the implementation of the gold exchange system, the free trade of gold is greatly restricted, the London gold market was closed for 15 years.
After the second world war, countries on the gold control has been relaxed, Switzerland's Zurich took the lead into the international gold market. Until March 1954, the Bank of England announced the reopening of the London gold market.
The end of the 1950s, the United States balance of payments reversal, people's confidence in the dollar shaken, have the hands of the dollar into gold, the United States gold reserves fell rapidly. 1968 March "Gold Treasury" was forced to disintegrate, the Central Bank of the seven countries announced the implementation of "Gold dual-price system", that is, the central bank of each country can still be exchanged for gold according to the official price, but private gold transactions must be carried out in the free market, by the supply and demand situation to determine the price, so the gold will be the official price and the difference between the market price.
Into the 1970s, the United States continued to deteriorate the international income situation, and finally announced on August 15, 1971 to stop exchanging gold with foreign central banks, "gold exchange system" was dismantled. 1973 November, the Basel Conference announced the official abolition of the "dual-price system", and no longer. Dual-price system", no longer maintain the dollar and the official price of gold, but changed to free floating, gold from then on will be directly governed by the law of supply and demand, the world gold market has become a free market.
With the disintegration of the official price system, gold is no longer play the function of money, gradually restore the general status of commodities, at the same time, the complete meaning of the gold market has also developed rapidly, New York, Chicago, Hong Kong have become an important international gold market, together with London, Zurich, together with the composition of the international gold market as a whole, the world's countries can be traded continuously within 24 hours. The world can trade continuously within 24 hours. At present there are about 40 gold market in the world, spread in four continents, the vast majority of regional. London, Zurich, New York and Hong Kong became the world's four major gold markets.
Since the founding of the People's Republic of China, due to the monetary function of gold, coupled with our country is in a period of hard work, the need to use gold to exchange foreign exchange and debt repayment, which greatly promoted the development of domestic gold production, but at the same time, also formed a high degree of monopoly of gold by the state, the implementation of a strict plan to supply the situation.
Early liberation, China's gold and silver jewelry market is still relatively active. But in January 1963, the state according to the needs of economic construction, stopped the supply of raw materials for gold and silver jewelry with gold, silver jewelry acquired by the bank is no longer sold to the public. Until September 1982, China resumed domestic sales of gold jewelry.
To date, mainland China has never opened the gold market. Neither national nor foreign residents are allowed to engage in gold trading within China. According to the "Chinese people's * * * and country gold and silver management regulations" and "Chinese people's * * * and country gold and silver management regulations implementation rules" provisions, in our country, the state on the production and use of gold unified management, purchasing and distribution, not allowed to gold-denominated commodity exchanges, prohibit private trading and lending and mortgaging. Only financial institutions approved by the People's Bank of China can participate in trading activities in the international gold market.
Since the reform and opening up, China's rapid economic development, the people's living standards improved rapidly, the lagging of the gold market opening has appeared to be out of step with this situation. From the planned economic system to the market economic system in the process of transition, due to the lack of standardized gold market, China's gold trading presents a unified monopoly of the circulation system, with the market underground trading and legal and illegal intertwined with the private market coexisting complex and diverse forms. The gold market is highly unified in name, but in fact the dark and light coexist. Unified exclusive trading by the state strict control, affect the gold market according to the law of value operation, constraints on the enthusiasm of producers and traders; Underground activities and violation of the state's relevant economic policies and laws and regulations, the destruction of gold resources, damage to the national interests, should be outlawed. China's gold trading method of reform is imminent.
The insight that: with the development of China's economy, with China's accession to the WTO, the opening of the gold market is the inevitable trend.
Examining the world's existing gold market, in accordance with the degree of government regulation, can be divided into: residents and non-residents can be free to buy and sell, do not restrict the import and export of the free gold market; only non-residents are allowed to buy and sell, import and export restrictions on the control of the gold market; only residents are allowed to buy and sell, import and export of gold market is prohibited in the country. According to the period of gold trading, can be divided into spot trading market and futures trading market. According to the form of gold trading, it can be divided into tangible market with fixed trading place and intangible market without fixed trading place. According to the scope of gold trading, can be divided into international market and regional market.
According to the pattern of the international gold market and China's actual, China has established the establishment of the gold market target model:
dominated by the domestic market, the spot market and futures market in parallel, tangible and intangible market **** existence of the regional gold market. Both the establishment of tangible gold exchanges, but also allows trading in an intangible way; gold exchanges allow both spot trading, but also futures and options trading; complete liberalization of gold imports, but appropriate restrictions on the export of gold; traders are mainly domestic institutions, residents and non-residents.
Since China currently does not have the necessary conditions for the establishment of the gold market, it is impossible to get there in one step, so China will be in accordance with the first legal person, and then residents, the first spot, and then futures, the first domestic, and then foreign steps, step by step, and gradually reach the target mode of the gold market. Specifically will implement a three-step strategy:
1) preparation for the transition stage: before 2002. As the gold market mechanism and legal protection is almost in a blank state, it is difficult to immediately cancel the directive plan, the government pricing and collection franchise, but should be carried out to establish the gold market preparatory work as soon as possible to establish the gold trading market in the first choice of the city, and gradually carry out a managed transition. Accelerate structural adjustment, the establishment of a modern enterprise system and industry management, acquisition price further to the world price.
2) preliminary opening stage: 2002 into the preliminary opening stage. According to international experience and China's national conditions, because the domestic supply of gold is far from meeting the demand for gold consumption, resulting in illegal mining and illegal trading prevalent, therefore should first open up the domestic gold wholesale market, by gold-producing enterprises and gold-using enterprises in RMB-denominated spot and forward spot transactions, and restrictions on imports, i.e., to legal persons but not to the residents, not to the spot not to the futures, not to the domestic and not to the foreign. The current period will be directive plan to guide the plan, with the policy to guide the gold enterprises into the transaction, while still by the People's Bank of China to buy some of the products. The country's gold reserves, both directly to the acquisition of gold enterprises, but also through the gold market throughput.
3) full liberalization stage: according to the actual process of the initial liberalization stage, and strive for 2005 to start gradually towards the target mode. When the RMB is fully convertible, it can be opened to the outside world and carry out futures trading and options trading. By that time, the Shanghai gold market is dominated by domestic, Hong Kong gold market is dominated by Southeast Asia, the two wings, will form the gold center in Asia.
Examining the process of China's gold market opening, 2002 in the history of the development of China's gold industry is a year of special significance:
1. Mining rights auction
August 18, 2002 morning, Shangrao County should be home to Magnetic Dock gold mine mining rights auction organized by the Department of Land and Resources in Nanchang, Jiangxi. This was the first auction of gold mining rights held in China.
The whole auction site had a warm atmosphere. After a few rounds, a representative of the private company, Southern Machinery and Chemical Engineering Company, finally won the bidding with a price of 2 million yuan, becoming the first winner of a public auction of a gold mine in China.
For a long time, China's gold miners have been dominated by enterprises directly under the central government and provincial enterprises. But with the advancement of gold management system reform, the liberalization of the gold market is sooner or later. The auction of gold mining rights will promote the development of the gold industry through the introduction of market competition mechanism.
According to the "new catalog of industrial guidance for foreign investment" introduced in March 2002, the exploration and mining of gold and other precious metals by the former "prohibited foreign investment industry catalog" adjusted to the "restriction of foreign investment industry catalog", China's gold China's gold industry began to cautiously and conditionally open up to foreign capital. Although the mining rights auction winner for the private sector, but also participated in the bidding enterprises appear in the Hong Kong-funded enterprises on behalf of the auction, which has become a major highlight of the mining rights auction.
Industry insiders believe the auction marks the breaking of the ice of China's gold industry reform from upstream.
2. Gold Exchange opened
Jiangxi's auction gavel just fell, October 30, 2002, the Shanghai Gold Exchange (hereinafter referred to as the Gold Exchange) in the Bund, China and Russia, Dawson Bank, the original site of the gong opened.
On the opening day, in just two and a half hours, the gold trading volume of the Gold Exchange reached 540 kilograms, the transaction amount of 45,086,550,000 yuan.
After more than a month, the Shanghai Gold Exchange operated smoothly, and the turnover gradually enlarged. To December 6, 2002, the gold exchange turnover has reached 930 kilograms, the gold price and the international market is basically in line.
The opening of the Gold Exchange, the gold industry circulation area open the floodgates, will have a significant impact on China's gold jewelry industry.
Golden jewelry industry is China's domestic gold consumption, "big", in 2001, China's 270 tons of gold consumption, gold jewelry consumption accounted for 230 tons. The opening of the Gold Exchange, making retail gold units feel "a real sense of being untied". In the previous "unified purchase and sale" system, all the products of gold production enterprises are sold to the people's bank of China and pricing, gold processing enterprises can not independent pricing and the lack of promotion of gold products, product price competition and lead to the enterprise's meager profits, can not afford to use high-grade jewelry processing technology. With the opening of the Gold Exchange, retail gold units can directly buy gold in the market, buy more buy less can be based on demand. In addition, the price of gold on the Gold Exchange is directly in line with international gold prices, more reasonable and fair. Merchants withdraw gold, gold, gold will be more convenient to buy gold.
But industry insiders predict that with the continued increase in domestic consumption of gold jewelry, gold jewelry industry competition will become more and more intense. After the full liberalization of the gold market, for gold processing enterprises, gold jewelry production plan with gold will no longer exist. Previously, the gold jewelry enterprises only focus on style, variety, etc., and now it is necessary to start from the raw materials to pay attention to the whole process, and always pay attention to the trading market. At the same time, the four state-owned commercial banks in the future directly to consumers to sell gold bars, gold nuggets, but also with the gold store to form competition. In addition, the complete liberalization of gold trading is also bound to attract overseas capital and enterprises in the industry after the relaxation of access conditions flocked to further intensify the competition in the gold jewelry industry.
With the full liberalization of the gold market, underground gold trading will also enter the legal channel, and although the official statistics of gold trading volume may increase rapidly, the actual trading volume will not change much.
3. The industry faces consolidation
The opening of the Shanghai Gold Exchange will accelerate the integration of gold production enterprises, the stronger the stronger, the weaker out. After the official opening of the Gold Exchange, the People's Bank of China will liberalize the acquisition, take a dual-track transition approach to gold companies to determine a proportion of the acquisition, the proportion of products outside the market. To be mature after the development of the gold exchange, the central bank will completely stop the acquisition of gold production enterprise products, gold production enterprise products can all enter the market.
Shanghai Gold Exchange opened, the larger gold producers take the lead in obtaining membership and trading, through the market bidding may be higher than the original revenue. Fierce market competition will also force these enterprises to strengthen management, as far as possible to reduce production costs. In this way, a number of excellent gold production enterprises will rapidly expand the scale of enterprises, establish its own brand, and use the brand advantage in expanding self-employment business based on the penetration of the sales chain to the agent. For some small and medium-sized enterprises, due to the lack of direct access to trading opportunities, can only choose to sell gold to the People's Bank of China, or made of standard gold by the members of the agent through the gold exchange for trading. The central bank for the development of the gold market, to encourage more gold enterprises into the transaction, is bound to refer to the gold exchange trading price to reduce the purchase price; And made into standard gold agent sales, on the one hand, enterprises have to pay for smelting gold a lot of smelting and transportation costs, on the other hand, need to pay to the members of the agent transaction costs, which will greatly increase the cost and risk of enterprises. Therefore, after the liberalization of the gold market, a number of small and medium-sized gold production enterprises will face an existential crisis.
In mid-October 2002, the Shanghai Gold Exchange designated 10 refining enterprises for making gold ingots. Industry insiders say, because the Shanghai Gold Exchange regulations, all into the trading of gold must be sent to the designated gold refinery near the production of gold ingots, so that the 10 refining enterprises will naturally form a monopoly of the resource market, while the other gold refining enterprises will face the fate of integration, annexation.
4. "Little yellow fish" show face
In the early days of the opening, the Gold Exchange is more in the role of a commodity business market, can only be traded in kind, the gold buyers buy gold mostly out of the demand for gold. To really make the gold to play out the investment value, so that the gold exchange has become a financial investment market, there is still to be futures trading, personal investment and other business liberalization. Individual investors will be able to carry out physical and "paper" (i.e. gold passbook) two trading methods. Another option is to directly buy a "small yellow fish" home. Individual investment in gold market liberalization, investors will be able to through the shopping malls of professional counters and banks to buy small grams of gold bars, for investment, collection.
November 27, 2002, commonly known as the "small yellow fish" small grams of gold bars in the "2002 Beijing Gold and Jewelry Exhibition" has just appeared, that ushered in the individual investor's eager to ask. After 50 years, "small yellow fish" and gradually returned to the lives of ordinary people.
Currently, the central bank is stepping up the development of personal investment in gold rules.
Review of 2002, it can be said that 2002 is the gold industry from the upstream mining, intermediate circulation links and even the end of the personal investment in the field of gradual opening of the year.
October 30, 2002, is the history of China's gold market has special significance:
The Bund, China's Russian Dawson Bank, the original site of the gold industry, after a long gestation of the Shanghai Gold Exchange gong opened.
Shanghai Gold Exchange opened that short gong, knocking on the door of China's gold market that has been sealed for a long time. In just two and a half hours, the gold trading volume of the Gold Exchange reached 540 kilograms, the transaction amount of 45,086,550,000 yuan.
Shanghai Gold Exchange's official opening, marking China's gold market is really towards the full opening. The opening of the gold market will make China's gold industry pattern faces major changes.
Shanghai Gold Exchange opened, Zijin Mining production of Fujian brand-name products "9999" gold ingots will become the protagonist in the Shanghai Gold Exchange.
Zijin's website () reported on Zijin Mining's participation in the Shanghai Gold Exchange as follows:
"Today is the first day of trading on the Shanghai Gold Exchange, for which the company is well prepared, and despite the fact that it failed to snatch the first ten transactions due to the limitations of remote trading, the 99.99% gold transactions were fully prepared. 99.99% gold trading, the advantage of our company's trading volume is very obvious, the day's volume of 190 kilograms, accounting for nearly 53.98% of the total volume of 99.99% gold trading on the Gold Exchange (total volume of 352 kilograms)."
Since China's gold market has just recovered after decades, there have been some surprises in market transactions, such as a mismatch between gold grade and price, but the market's dysfunction hasn't affected Zijin's determination for its own product production and marketing strategy. In this regard, the Zijin Mining website made the following report:
"Throughout the transaction, a strange phenomenon appeared, the average transaction price of 99.95% gold was 83.58 yuan/gram, higher than the average transaction price of 99.99% gold 83.447 yuan/gram. In the morning trading, the turnover of 99.95% gold was once greater than 99.99% gold by $0.133/gram. As 99.99% gold and 99.95% gold traded at similar prices, the buying volume of 99.99% gold showed a significant upward trend in the afternoon. It can be inferred that most buyers (jewelers) originally chose to buy 99.95% gold as raw material for jewelry due to the price factor, so they have been active in the trading market of 99.95% gold, and when they learned that the price of 99.99% gold is close to that of 99.95% gold, they were awakened to start buying 99.99% gold instead.
In the face of this phenomenon, the leadership of the joint-stock company said, regardless of whether this contrast will occur again in the future, our company will insist on the production and sale of 99.99% gold."
Zijin Mining's website followed up the sales situation of our company on the second day of the opening of the Shanghai Gold Exchange:
"On the second day of the opening of the Shanghai Gold Exchange, our company still maintains a good sales momentum, and continues to sell 57 kilograms of gold today following yesterday's turnover of 190 kilograms, which accounted for 51.818% of the total turnover of the Gold Exchange The total turnover of 99.99% gold is 83.36%. The total turnover of the Gold Exchange today was 110 kilograms, of which 66 kilograms of 99.99% gold was traded, with an average transaction price of 83.90 yuan/gram; 44 kilograms of 99.95% gold was traded, with an average transaction price of 83.64 yuan/gram. Two trading varieties average transaction price difference of 0.26 yuan / gram. And this morning, the 'RMB conversion price' announced by the US Gold Information Network was RMB 84.01/g. It can be said that the GSE transaction price has gradually close to the international price.
From the trading volume point of view, today's trading popularity of the Gold Exchange is obviously lighter than yesterday, but the average trading price of 99.99% gold, 99.95% gold are higher than yesterday, obviously, buyers and sellers have shifted the focus of the transaction from yesterday's trading volume on the trading price. Analyzing today's transaction, 99.99% gold transaction price and 99.95% gold transaction price has opened a certain distance, our company expects that this distance in the fluctuation adjustment of the transaction price can be further raised to a reasonable value difference."
Psychologists once made the conclusion that the purpose of human existence is for the fulfillment of two needs, one is to live a more comfortable life, and the other is to achieve a career. The development of the world's economic life shows that the former has been transformed into the consumption of brand names; the latter has been transformed into the creation of brand names. Successful entrepreneurs are mostly the creators of famous brands, and the most successful enterprises are those that are famous all over the world. An economist said, "Do you want to prove your success? Then the best way is to create a world famous brand name."
The market economy is actually a brand-name economy, the only way for enterprises to develop is to create and develop famous brands. In the market, a strong competitive brand-name products, in addition to high-quality products and unique brand, but also have a larger scale of production and sales scale as the strength of the foundation to protect a higher market share, thereby generating economies of scale.
Many people believe that the gold industry is the emperor's daughter, as long as you can produce gold can earn money. But Zijin Mining began its business, has established a strong brand awareness, established a "quality tree brand, to the standard certification to ensure quality" Zijin brand strategy.
Zijin leadership believes that, with China's accession to the World Trade Organization, China's gold enterprises will face the same market as other enterprises. With the opening of the gold market, the new gold management system gradually established, gold enterprises will face new development opportunities and challenges. Gold to the market, first of all, gold enterprises must go to the market, which requires gold enterprises must establish a system and operating mechanism to adapt to the market. To this end, Zijin carried out three enterprise restructuring, especially in September 2000, the second enterprise restructuring, completed the transformation of the limited liability company, private capital into the enterprise. 2001 November, the Canadian embassy and the Australian embassy officials rate of the two countries on behalf of the mining company to Zijin after the inspection, said Zijin Mining in the market economy on the more advanced, is the foreign gold companies looking for The first choice of foreign gold companies looking for partners.
In addition, Zijin people believe that for any kind of commodity, quality, brand and marketing are three important links. Zijin has done a lot of work in these three links.
December 23, 2002, Zijin Mining Gold Smelter has received the gold ingot production international standard ISO9001: 2000 quality system certification issued by the China Fangyuan Certification Committee, ISO14001: 96 international standard environmental management system certification, became the first in the industry through the ISO14001: 96 international standard environmental management system certification enterprise, filling the gap between the domestic and foreign enterprises. management system certification of the first enterprise in the domestic industry through the ISO14001:96 international standard environmental management system certification, to fill the gaps in Fujian Province and the domestic in this regard, to further improve and consolidate the brand position of Zijin Gold.
From unknown to become one of the first 10 qualified gold refineries recognized by the Shanghai Gold Exchange to provide first-class products, Zijin Mining is active in the trading activities of the Shanghai Gold Exchange, and has become a leader in China's gold market, "Zijin" brand of gold road is a road of continuous innovation, advancing with the times, the pursuit of excellence. The brand road of "Zijin" gold is a road of continuous innovation, advancing with the times and pursuing excellence:
1) In 1999, Zijin Mining Gold Smelter self-developed cyanide-free high-temperature and high-pressure desorption and electro-accumulation equipment was successfully operated, and "Zijin" gold ingots became the exempted products designated by the People's Bank of Fujian Province, and Zijin gold was favored by the users both inside and outside of Fujian Province; at the same time, Zijin Mining At the same time, Zijin Mining introduced the ISO9000 quality assurance system into the smelting plant and applied it to the gold smelting production.
2) In December 2000, Zijin gold ingot production line obtained ISO9002:1994 international standard quality system certification by China Fangyuan Certification Committee, and gold ingot products passed the national standard Au-1 quality certification, which made Zijin Gold the only gold enterprise in China to be the first to pass the quality system and product quality "double certification" at that time. It became the only gold enterprise in China that passed the "double certification" of quality system and product quality.
3) In 2001, as the liberalization of the domestic gold market approached, Zijin Gold passed the assessment of Shanghai Gold Exchange with its high purity quality and strict quality assurance system, and became the first batch of enterprises that could provide standard gold ingot certification on Shanghai Gold Exchange, and "Zijin" gold ingots were permitted to enter the trading of Shanghai Gold Exchange directly. Zijin" gold ingots were authorized to enter the Shanghai Gold Exchange directly.
4) At the beginning of 2002, Zijin Gold Smelter introduced ISO14000 environmental management system together with the opportunity of ISO9000 conversion to 2000 version, and implemented the international standard certification of quality/environmental management system integration; in February 2002, "Zijin" Au-1 gold ingot was honored by Fujian Provincial People's Government. In February 2002, "Zijin" Au-1 gold ingot was awarded the title of Famous Brand Product of Fujian Province by the People's Government of Fujian Province, which was the first time for gold ingot to become a Famous Brand Product of Fujian Province. According to the international practice, through ISO9000 certification is to make the enterprise product to get the key to enter the international market, through ISO14000 certification is to make the enterprise product to get the green passport to enter the international market, thus, Zijin Gold has entered the fast lane with the international standards.
5) Fujian Zijin Mining Gold Smelter in May 2002 on the gold salt products for industrialized production, has produced six batches of gold salt products. As a kind of fine chemical products widely used in electroplating, electroforming, electronics and craft products, at present, the annual domestic demand for gold salt reaches 10 tons (converted to gold measurement), but because the domestic production of gold salt has not reached the level of foreign production (BS5658-1979), we can only rely on Sweden to import, and we need to pay 1.4 billion yuan of foreign exchange every year. Zijin Mining has successfully filled this gap, and Zijin-produced gold salt products can replace imports.
6) At the end of 2002, Zijin Mining broke through the refining process of 99.999- high purity gold.
7) In 2003, Zijinshan Gold Mine further implemented standardized management, imported ISO9000 quality management system standards, ISO14000 environmental management system standards, OHSAS18001 employee health and safety management system standards and other "three standards" management system, formulated and introduced the "Integrated Management Manual" and 49 management guidelines. Zijin Gold Smelter continues to consolidate and improve the achievements of building a brand with quality, formulates internal control standards for quality that are stricter than those of Shanghai Gold Exchange, carries out strict control over the weight, color and appearance of the products, and carries out key quality control for key processes to further consolidate the "Zijin" quality management system and to improve the quality of the products. "At the same time, Zijin also actively declared the London Gold Market Association (LBMA) certification of the preliminary work; Zijin Laboratory in accordance with ISO/IEC17025-1999 to complete the quality system of the conversion, to maintain synchronization with the development of the international laboratory accreditation and continuous and effective operation. Zijin Laboratory also carried out with the Changchun National Gold and Silver Quality Inspection Center and Inner Mongolia Qiankun Gold and Silver Refining Company laboratory of gold ingots of the "room comparison" work, the results show that the Zijin Laboratory presided over the main items of the detection of quality and stability.
In 2003, Zijin Mining was honored by the State Administration for Industry and Commerce as one of the second batch of "contract-abiding and trustworthy" enterprises in China, and by Fujian Province as one of the "Contract-abiding and Trustworthy Enterprises in Fujian Province for the year of 2001-2002".
In order to cope with the opportunities and challenges brought about by the opening of China's gold market, and in the face of the increasingly clear prospects for the opening of the domestic gold market, the gradual convergence of the domestic purchase price of gold with the international market, and the trend of the price of gold with the international price of the flexible and changeable, Zijin Mining has set up a sales information department in 2002, which is responsible for the collection, collation, analysis, and prediction of the information on the price of gold in order to diversify the risk of the price and grasp the timing of the sale. Sales timing. Zijin appointed a deputy general manager of the company specifically responsible for the gold market sales. After more than a year of operation, the results are remarkable, for the enterprise has won tens of millions of yuan of profit.
If Zijin gold ingot brand establishment, Zijin gold smelter in the Shanghai Gold Exchange top ten gold refinery for Zijin into the Shanghai Gold Exchange to obtain a pass, then Zijin gold market awareness of the establishment of the establishment of the Zijin enterprise reputation, Zijin gold market for China to become the tide of the solid foundation.
Zijin people have repeatedly emphasized that their last name is "mine" not "gold", they said, look at the name of their company is clear, they are "mining company", not "gold company". They said that if you look at the name of their company, it is clear that they are a "mining company", not a "gold company". Zijin people do not just gold, they do is non-ferrous metal mines, now, in addition to gold, they also do "copper", do "iron", if possible, they will do "bauxite" The company's business is to provide the best possible service to its customers.
Currently, Zijin Mining sells products other than gold, and copper cathode. Zijin Mining began selling copper cathodes in June 2002, according to the company's marketing department. By 2003, Zijin Mining produced 839 tons of copper cathode, with sales revenue of 14.88 million yuan.
According to China Nonferrous Metals Economic Insider, global demand for copper will remain strong in 2003, with the average price of copper rising by 6.2 percent to 75 cents per pound, while China remains the bright spot in the global copper industry, and demand for copper will continue to gain momentum. The latest report of the national statistics department shows that in 2002, China's copper consumption reached 2.5 million tons, accounting for 16.4% of the world's total 15.2 million tons of copper, more than the United States, ranking first in the world. However, China's copper concentrate and other raw materials continued shortage, will be the bottleneck restricting the domestic copper production. On the one hand, there is the market opportunity brought by copper demand, and on the other hand, there is the challenge faced by the shortage of domestic copper resources. Zijin decided to seize this opportunity.
From the end of 2002 to the first quarter of 2003, demand for refined copper was sluggish in most parts of the world, except Asia. Global demand for refined copper is expected to grow by 4% in 2003, driven mainly by Asia. China in the past two years due to the rapid development of economic construction, copper demand to maintain the annual consumption of more than 15%, becoming the world's largest copper consumer, resulting in the market presents the situation of demand exceeds supply, at the same time, because the social inventory has more decline, the international copper prices and a new rebound, the domestic price of copper has also risen sharply, is a favorable.
In the first quarter of 2003, China's new copper resources 725,300 tons, roughly the same as the same period last year, of which, in March, the new resources 254,500 tons, a decline of 1.3% compared with last year; 311,000 tons of imported copper, a decline of 9.3% compared with the same period last year; during the same period, the overall domestic economy in recent years, a rare high growth situation, the growth rate of breakthroughs in the 9%, most of the copper-consuming Products also increased significantly, which led to copper consumption of nearly 300,000 tons, an increase of 23%. April, copper consumption of 310,000 tons, an increase of 15% over the same period in 2002, 1 to April, the cumulative consumption of copper 1.1 million tons, an increase of 25%. Overall, the first four months of 2003, the copper market is obviously less than demand, the gap part of the main reliance on inventory to solve. According to statistics, in the past 10 years, China's average growth rate of copper consumption is the world's average growth rate of copper consumption 2.4 times. In the past two years, an average annual increase of 350,000 tons, from 1.8 million tons of consumption in 2000, surged to 2.5 million tons in 2002, an increase of up to 38.9%, the main areas of consumption focused on power generation projects, construction projects and other aspects, such as the domestic real estate industry, infrastructure construction, the automotive industry, the power grid renovation and so on.
In the face of such a great market opportunity, in China's gold industry, the rise of the Zijin people have once again shown its market consciousness, they decided to extend the resource chain to extend the enterprise industry chain. Zijin Mining is currently increasing the industrialization of biological copper technology, is stepping up the development of Zijinshan copper mine, and step up the study of some of the technical problems of biological copper, in order to further improve the quality of the enterprise cathode copper.
Zijin leaders said that with the liberalization of the gold market and China's accession to the World Trade Organization, Zijin Mining is facing a new development situation as are other gold enterprises. But they believe that China's gold industry to the international market needs a "transition". In this transition period, the enterprise should further clarify the idea, choose their own target positioning and development strategy, for the eventual usher in the full opening of the gold market to make the fullest preparation. Zijin Mining hopes to be able to strengthen ties with the majority of counterparts to enhance cooperation, *** with the realization of a smooth transition.
Preparing for a rainy day, and the heart of the ****.