Most of the jewellery in China is 24-carat gold, as opposed to India, where it's 22 carat. : China is the world’s largest gold consuming nation, a title that it has been holding for the last five years. The major reasons behind China outstripping India in the demand for gold include innovations in jewellery making and design, aggressive marketing and the formalisation of trade channels. India’s demand for gold has remained stagnant for the last five years while investment has fallen.