Gold production has plummeted by nearly 90%! 80% are illegally shipped overseas! The local government has taken action, here
Affected by the ongoing armed conflict, Sudan's gold production has plummeted, adding insult to injury to the economy of Sudan, which is deeply embroiled in internal turmoil. Sudanese officials have stated that relevant departments are doing their best to restore gold production.
△ Video from CCTV Finance's "Tianxia Finance" program
Since the outbreak of armed conflict in Sudan in mid April this year, as one of the pillar industries of the Sudanese economy, gold production has experienced a cliff like decline. According to reports, from April to August this year, Sudan's gold production was only 2 tons, while in the same period last year, the gold production exceeded 18 tons. It is estimated that the direct loss from the sudden drop in gold production is $500 million. Officials have pointed out that material shortages have a significant impact on gold production.
Ali Sawakani, Head of Gold Business at Port Sudan, Sudan: Large gold companies are currently experiencing supply disruptions to the mercury and cyanide used for gold refining, which have affected gold production.
According to statistics, the annual production of gold in Sudan is about 100 tons, and gold is the most valuable commodity exported by Sudan. However, due to the turbulent domestic situation, 80% of its gold production is illegally transported to overseas markets for trading.
In order to stabilize the foreign exchange earning effect of gold exports, the Sudanese government has opened an official business window for gold exports in Port Sudan, hoping to reduce the illegal outflow of gold and boost foreign trade revenue.