China has ended its monopolized purchase and sale of silver and opened the silver market for the first time since 1949. The Shanghai-based Huatong Nonferrous Metal Trading Center has been designated as the first market to operate silver trade in the country since January 1, 2000.

Silver had long been considered a special commodity in China, and the People's Bank of China, the country's central bank, had been in charge of its unified purchase and sale.

As silver supply exceeded demand in the past decade, the central government announced its decision to allow silver to be traded on the open market at the end of last year.

After the opening of the market, the country will encourage the export of silver and limit the import.

China produces about 1,300 tons of silver annually and consumes some 800 tons a year.