China is set to usurp India this year as the world’s biggest gold consumer by a convincing margin as strict import rules introduced by New Delhi have had an adverse effect, forecasts from the World Gold Council showed Thursday.

The industry body cut its outlook for Indian demand in 2013 to around 900 tons from the 1,000 tons predicted previously, while keeping its forecast for China unchanged at 1,000 tons.

Plummeting demand from India could further pressure global prices that have dropped around 24 percent this year on fears the US Federal Reserve would cut its economic stimulus.