THE gold rush returns - pre-sales of gold bars marking the new Chinese lunar year are already sizzling before they are due to hit the counter today.

The bars are scheduled to go on sale today in Beijing, which has an allotment of one ton among total nationwide sales of three tons. Sales to retail buyers in Shanghai are scheduled to start this weekend.

The issuer - China Gold Coin Inc, the country's sole wholesaler of gold bars and coins - plans to sell 300 kilograms to 500 kilograms of the bars in Shanghai and in neighboring provinces of Zhejiang and Jiangsu.

The bullions, each marked with a rat to denote next year's animal symbol according to the Chinese lunar calendar, will be sold by weight of 50, 100, 200, 500 and 1,000 grams.

"Sales are quite hot," said Shanghai Gold Coin Investment Co, a subsidiary of China Gold Coin which sells the gold bars.

The company said some regular buyers have already booked their pieces.

Six years ago, China Gold Coin became the country's first producer of investment-grade gold bars. Every time the bullions hit the market, they were sold out quickly due to the traditional view of gold as a safe haven and alternative investment option.

The bars are also sold with a buy-back guarantee, with prices based on gold prices in local and international markets plus a two-percent commission.

On seeing the lucrative market, lots of jewelers and commercial banks also launched gold bars, some of which can't be sold back to issuers.

The bars glitter as an investment alternative with the current state of the stock market, which is undergoing a correction, soaring property prices and relatively low bank interest rates for deposit accounts.

The benchmark Shanghai Composite Index has tumbled 11 percent this month, although the index has also doubled this year.

Investors are concerned that the short-term correction will continue, although analysts say the long-term bull run is far from ending.

Gold stands out when investors are seeking investment alternatives especially when inflationary pressure is high. China's consumer price index, the main gauge of inflation, rose 6.5 percent in October.

Few people have sold back the bullions to the issuer even though gold prices have almost doubled since the bars were first launched in the Year of the Goat.

"More buyers see the bullions as a long-term investment and as collections rather than a means to cash in short-term profits," China Gold Coin said.