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China: Rising silver prices lift fortunes of Chinese processing firms

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[Voiceover] Amid a record-breaking rally in silver prices, a buying rush is sweeping across China, with processors cashing in on surging demand for everything from fine jewelry to investment bullion. In central China’s Yongxing County, a major silver production hub, consumers are snapping up silver bars and ingots, leaving many local jewelry stores out of stock. [Sounbite] Liu Yanqiong, head, jewelry store: "The recent price surge has basically doubled our store's sales. We're facing stockouts, especially on investment products like silver bars and ingots. Demand is simply outstripping supply." [Voiceover] Further up the supply chain, silver processing firms in the region are feeding the boom, with orders pouring in from around the country. [Sounbite] Hou Wei, production director, precious metals processing firm: "Before this round of silver price increase, our monthly shipments were approximately one ton. Now, with the higher prices, shipments have grown to two to three tons for the month of October." [Voiceover] Silver prices touched an all-time high of 54 U.S. dollars an ounce in mid-October, officially breaking the record from 1980. [Restrictions: No access Chinese mainland]

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