UNITED STATES May 21 2014 6:19 PM

NEW YORK (Scrap Register): The total amount of recycled gold supplied to the global market down by 13% year-on-year in the first quarter to 322 tons (t), said London-based World Gold Council.

According to WGC, this is 20% below the 5-year quarterly average of almost 400t and very much at the lower end of the broad 300-460t range that has largely defined recycling since 2008.

Much of the decline was due to less recycling activity in industrialized countries, where improving economic conditions reduced the need for distress selling.

Lower gold prices also contributed to the decline, making it less attractive for consumers to sell existing gold pieces. The supply of recycled gold from these markets has stabilized over recent quarters. This suggests a new floor may have been reached, in the absence of any events that may cue a fresh surge in distress selling, WGC added.