Gold consumption in China in the first quarter of 2014 significantly decreased compared to the same period last year, mainly due to a decrease in the demand for gold bars, presented as gifts, according to the China Information Information Center (CIIC) state website.
In the first three months of this year, gold consumption reached almost 323 tons, which is 0.76% higher than in the previous year. Sales of gold jewelry rose by 30% and exceeded 232 tons. Consumption of gold bars declined by almost 44% and amounted to about 68 tons, the China Gold Association reported.
"The drop in demand for gold bullion is caused by a reduction in gifts to officials," Albert Cheng, managing director of the World Gold Council (WGC) for the Far Eastern region, told China Daily.