Less bullish on bullion: Gold bar demand dives

China's gold consumption in the first quarter of 2014 eased significantly from last year mainly because of reduced demand for giftrelated gold bars, experts said on Tuesday.

In the JanuaryMarch period, gold consumption was 322.99 metric tons, rising 2.45 tons or 0.76 percent year-on-year. Gold jewelry purchases jumped 30.2 percent to 232.53 tons, while gold bar consumption slumped 43.56 percent to 67.95 tons, the China Gold Association said.

Albert Cheng, Far East managing director of the World Gold Council, told China Daily that the "slump of gold bar demand was caused by the decline of gifts" as the government tightened rules on giftgiving by officials.