Norilsk Nickel, the world's largest producer of palladium, has concurred with speculation that the industry could be about to see higher prices for the material.

Deputy chief executive Maxim Finsky told the Moscow Interfax news agency that Norilsk was experiencing 'growing liquidity and strong interest in palladium from consumers.'

Mr Finsky agreed with analyst and other industry sources that the price differential with platinum was responsible for the movement, just as soaring palladium prices when carmakers switched from platinum to palladium induced them to change back, with a concomitant rebalancing of the market.

Now, the reverse seems to be happening, Mr Finsky commented.

He predicted that the difference in price will be fully reversed within two years.