*Gold hallmarking Mandatory: How will it change the current standards?*
Gold holds a significant place in the Indian tradition and is something that every Indian household possess! In precious metals like gold, Diamond, and titanium, hallmarking defines the purity of the artifacts or jewelry.
Mandatory hallmarking of Gold jewelry is going to come into force from 16th June 2021. Earlier, the date was set for 1st June but was extended due to the COVID-19 pandemic. Based on extensive consultations with stakeholders, the following decisions were taken on the hallmarking standards:
– Hallmarking will initially be starting from.256 districts of the country which have Assaying marking centers.
-Jewelers with annual turnover up to Rs. 40 lac will be exempted from mandatory Hallmarking.
-Export and re-import of jewelry as per Trade Policy of Government of India – Jewellery for international exhibitions, jewelry for government-approved B2B domestic exhibitions will be exempted from mandatory Hallmarking.
-Gold of Additional carats 20, 23, and 24 will also be allowed for Hallmarking.
-Watches, fountain pens, and special types of jewelry viz. Kundan, Polki, and Jadau will be exempted from Hallmarking.
-Jewelers can continue to buy back old gold jewelry without a hallmark from consumers.
-In order to give adequate time to the manufacturers, wholesalers, and retailers of Gold Jewellery, there would be no penalties till August end.
The Hallmarking of jewelry/artifacts is required to amplify the credibility of gold jewelry and customer satisfaction through third-party assurance for the marked purity/fineness of gold and consumer protection. This step will also help to develop India as a leading gold market center in the world. At present, only 30% of Indian Gold Jewellery is hallmarked.
*Process of Hallmarking*
For hallmarking of jewelry, a jeweler who wants to sell hallmarked jewelry has to obtain a registration from (BIS) Bureau of Indian Standards. For this, the registered jeweler submits the jewelry for hallmarking to BIS-recognized Assaying & Hallmarking (A&H) center.
*What will happen to the jewelry that does not have a hallmark?*
The old jewelry that does not have a hallmark can be hallmarked as it is, if feasible by the jeweler or after melting and making new jewelry. Under the hallmarking scheme of the Bureau of Indian Standards, jewelers are registered for selling hallmarked jewelry and recognized testing and hallmarking centers.
Hallmarking will be starting from 256 districts of the country which have Assaying marking centers. Hallmarking will be done for jewelry in 3 categories – 14 carats, 18 carats, and 22 carats.
With the new rules, the consumers who buy the gold will no longer be cheated and will get pure ornaments. The new regulations will also bring the Indian jewelry industry in line with global standards.
*How to identify hallmarked jewelry?*
To ensure that the hallmarking on jewelry is genuine, it is important to look for the purity in carat and fineness, BIS mark, identification mark or the number of hallmarking centers and identification mark or the number of the jeweler.
*How will the new rules impact the jewelers?*
As per the new rules, if a jeweler sells a 14, 18, or 22- carat gold artifact or jewelry without the BIS hallmark, then the jeweler could be penalized. Also, the hallmarking process has been made online and automatic.