The Centre has made hallmarking of gold jewellery and related items mandatory from June 16. The new rule will come into force in a phased manner and initially will be implemented in 256 districts.
“Continuing our government’s endeavour for better protection & satisfaction of customers, mandatory hallmarking in 256 districts will be implemented from June 16, 2021. No penalty will be imposed till August 2021,” Consumer Affairs Minister Piyush Goyal tweeted after the meeting on Tuesday.
According to a government release, jewellers with annual turnover up to ₹40 lakh will be exempted from the mandatory hallmarking rule.
What does it mean?
Gold hallmarking is a purity certification that has been voluntary so far. From June 16, jewellers in 256 districts will be required to sell only 14, 18 and 22 carats of gold jewellery. If the jeweller fails to do so he will be penalised five times the cost of the object or imprisoned for up to one year. Gold of additional 20, 23 and 24 carats will also be allowed for hallmarking. According to World Gold Council, India has around 4 lakh jewellers, out of this only 35,879 have been BIS certified. This step is also expected to help develop India as a leading gold market centre in the world.
What happens to old jewellery?
Jewellers can continue to buy back old gold jewellery without hallmark from the consumer. In order to give adequate time to the manufacturers, wholesalers and retailers of gold jewellery, there would be no penalties till August end. Old jewellery can be got hallmarked as it is, if feasible by the jeweller or after melting and making new jewellery, the government said.
How will it benefit customers?
The government says hallmarking is needed “to enhance the credibility of gold jewellery, customer satisfaction and consumer protection”. Only around 40 per cent of gold jewellery was hallmarked until now. The mandatory hallmarking will ensure people do not get cheated while buying gold ornaments and purity will be guaranteed.
How to check if your jewellery’s hallmark is genuine?
To ensure that the hallmarking on jewellery is genuine, it is important to notice three things- the BIS (Bureau of Indian Standards) mark denoted by a triangle, the cartage (22K915) showing the purity, the mark of the jeweller and that of the AHC. As per the new rule, the customer can also ask the seller to produce BIS licence. Customer can also the jeweller to mention the hallmarking charges on the bill. The assaying and hallmarking centres (AHC) charge ₹35 per item hallmarked that is paid by the jeweller. You can get the jewellery checked at the AHC on your own by paying a small fee. You can check the list of AHCs on the BIS website. It will also display suspende AHC and those whose licence has been cancelled.
Also Read: Indians cheated of over Rs150 crore by nationwide fraud syndicate through malicious mobile apps
Meanwhile, the government said it has exempted mandatory hallmarking gold on watches, fountain pens and special types of jewellery like Kundan, Polki and Jadau.
“Jewellers can continue to buy back old gold jewellery without a hallmark from consumers,” it said, adding that old jewellery can be hallmarked, if feasible by the jeweller after melting and making new jewellery.
