BBC Business Daily: Tracing the Global Gold Supply Chain From Mine to Delhi Jeweller

The Quick Take

• BBC Business Daily traces the full gold supply chain from mine to an Indian gold jeweller
• The piece highlights pricing, logistics, and refining steps in gold's journey to consumers
• India is the world's second-largest gold consumer, with jewellery demand a key driver
• Supply chain transparency is a growing ESG focus in the gold market

BBC's Business Daily programme examined the multi-stage global supply chain that moves gold from mine extraction through refining, wholesale distribution, and customs clearance to reach a final consumer at a jewellery shop in Delhi. The process involves at least five distinct commercial and regulatory steps, each with its own cost layer, and illustrates why the Indian retail gold price diverges from the international spot rate by markups that can exceed 15% when import duties and GST are included. For market participants, the programme's framing offers a useful primer on how physical gold market microstructure differs from the paper-gold futures and ETF market most financial investors access.

India's status as the world's second-largest gold consumer — behind China — means supply chain efficiency is a material factor in domestic price formation and in demand elasticity responses to international gold price moves. When refining and logistics costs are high, Indian consumers are more sensitive to price spikes because the premium over London spot becomes amplified. The ESG dimension is increasingly important: major Swiss refiners such as MKS Pamp, Valcambi, and Metalor face investor pressure to demonstrate responsible sourcing standards, and brands sourcing gold for Indian markets are under similar supply-chain due-diligence obligations.

Investors in gold royalty and streaming companies such as Franco-Nevada, Royal Gold, and Wheaton Precious Metals should note that mine-to-consumer transparency initiatives can raise production costs at the extraction stage as miners invest in traceability technology. The key macro variable is global gold demand, which has been elevated in 2026 on central bank buying and geopolitical uncertainty. India's festive season demand — peaking around Dhanteras and Diwali — is the near-term market catalyst to watch, with any demand softening from high import prices being a temporary price-corrective signal.

Synthesized from 1 source.