Silver prices broke above $20 in March 2008 as growing economic and financial problems encouraged many investors around the world to move to safe haven assets.

This is the silver market that the CPM Silver Yearbook 2009 defines, delineates, and analyzes. It is a historically volatile market, not only in terms of prices, but also in terms of levels and shifts in supply, fabrication demand, investment demand, and market activities.

The CPM Silver Yearbook 2009 is a 211-page hard-bound report which provides detailed statistics on trends in each sector of the silver market in 2008, with insights into likely developments this year. The report is comprised of seven chapters: Review and Outlook, Supply, Fabrication Demand, Investment Demand, Inventories, Markets, and Prices. Each chapter provides extensive information on the silver market well supported by historical facts and figures.

This year’s Yearbook delves further into the supply and demand fundamentals for the silver market than in recent years. The supply chapter reviews mine production and secondary recovery of silver with a discussion on primary silver producers’ cash costs. It is estimated that total silver supply rose to 803.2 million ounces last year, up 2.3% from 785.5 million ounces in 2007. Both mine production and silver recovered from scrap rose last year. Mine production of silver rose to 548.7 million ounces in 2008 from 534.4 million ounces in 2007. Secondary supply meanwhile surged to 254.5 million ounces from 243.1 million ounces in 2007. This year total supply is forecast to rise further to 823.1 million ounces. Mine production may rise to 566.3 million ounces while secondary supply may rise to 256.8 million ounces.

Fabrication demand for silver declined last year to 701.2 million ounces, down 3.1% from 724 million ounces in 2007. A large part of the decline in fabrication demand last year was attributed to the deepening global economic conditions coupled with relatively high silver prices. This year total demand for silver is projected to fall to 641 million ounces. The slowdown in the global economy has taken a toll on every aspect of consumer spending. Most major uses of silver from photography to electronics and batteries, as well as jewelry and silverware, are expected to be adversely affected this year. Jewelry demand could fall to 249.9 million ounces this year from 261 million ounces in 2008. Industrial demand meanwhile could decline to 383.7 million ounces from 430.3 million ounces. These are just some of the findings in CPM Group’s Silver Yearbook 2009.

CPM Group produces annual Yearbooks on gold, silver, and platinum group metals, in a series of reports that began in 1971. Since 2006 these reports have been published by John Wiley & Sons, and have been marketed through Wiley’s network of book sellers as well as by CPM Group. This year’s reviews have been priced at $75.00 plus shipping and handling to make them readily available to individual investors as well as institutions, corporations, and governments.

The 2009 Silver Yearbook is sponsored by Bear Creek Mining Corp., CME Group, Endeavour Silver Corp., Esperanza Silver Corporation, First Majestic Silver Corp., Fortuna Silver Mines Inc., Great Panther Resources Ltd., Hecla Mining Company, Kitco Inc., Minera Andes Inc., Mines Management, Inc., Multi Commodity Exchange of India, Noah Financial Innovation, Orko Silver Corp., Silver Standard Resources Inc., Silver Users Association, Silver Wheaton, Silvercorp Metals Inc., Commodities Now, and Institute of Scrap Recycling Industries.

CPM Group began in the early 1970s as the Research Department of J. Aron and Company, one of the world’s largest and most successful commodities trading companies. In 1986 CPM Group spun off from Goldman Sachs, which had acquired J. Aron in 1981, to set up as an independent company that provides a range of consulting and research services to companies, investors, governments, and others with large financial exposure to commodities. The company has produced annual reports on gold and silver since 1971, and annual surveys of the platinum group metals markets since 1981. It is considered one of the foremost authorities on precious metals in the world. The annual reports are used by major producers, users, investors, central banks, governments, and others as the basis for their views on precious metals supply, demand, and overall market mechanics.