China and India have been competing for top spot in global gold consumption, since last year. Reports from November show investment demand has driven China’s gold imports up 600 percent in the first 10 months of 2010 with gold imports to India during 2010 eclipsing 2009 levels. Over the next ten years, China’s gold market is anticipated to double on retail investment and jewelry demand
China produces only about 100 tonnes of gold, while it consumes more than 460 tonnes. Therefore China is a net importer of gold. Recently the production has been rising in China, but not enough to cover the domestic demand. And India does not have any significant gold mines, if I am right. They had one (Kolar Gold Fields), which is completely exhausted now.
