The global silver market recorded a supply deficit of 46.3 million ounces in the Silver Institute World Silver Survey 2026, marking the sixth consecutive year of shortfall. The figure widened from the 40.3 million ounce deficit in 2025, extending a run of structural undersupply that has reshaped the market.

The survey, produced with research by Metals Focus and published April 15, points to a supply base that cannot respond quickly to price. About 74 percent of silver comes as a byproduct of copper, lead, and zinc mining, so production tracks base-metal economics rather than silver prices. That structural feature means the deficit persists even as silver trades far above historical averages.

Demand strength is concentrated in industry. Silver consumption in solar panels, semiconductors, data center hardware, and electrification projects continues to climb as governments and companies fund renewable energy and grid infrastructure. Those uses sit alongside traditional investment and jewelry demand, deepening the gap between what the market needs and what mines produce.

Price context frames the scale of the imbalance. Silver traded near 58 dollars per ounce in mid-July 2026, down significantly from its January peak, while the gold-to-silver ratio held near 69 to 1. Analyst forecasts for the full-year average range from about 75 dollars at HSBC to roughly 107 dollars among the most bullish estimates, with the persistent deficit cited as the central support for higher prices.

Source: Silver Institute and Metals Focus - https://investingnews.com/daily/resource-investing/precious-metals-investing/silver-investing/silver-forecast/