Hallmarking

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Context:

• The Consumer Affairs Ministry said that the Bureau of Indian standards (BIS) has now made provisions for consumers to be able to get the purity of their unhallmarked gold jewellery tested at any of the recognised Assaying and Hallmarking Centres (AHCs).

Details:

• The government is hallmarking three lakh gold articles with hallmark unique identification (HUID) every day in line with the implementation of the mandatory hallmarking norms.
• The AHC shall undertake the testing of gold jewellery from common consumers on priority and provide a test report to the consumer.
• The test report issued to the consumer will assure the consumer about the purity of their jewellery and will also be useful if the consumer wishes to sell the jewellery.
• Not free: AHCs will charge Rs 200 for testing of up to four articles of gold jewellery. For five or more articles, the charges are Rs 45 per article.
• The authenticity and purity of the hallmarked gold jewellery items with HUID number, purchased by consumer, can also be verified by using ‘verify HUID’ in BIS CARE app.

What is hallmarking of gold?

• The Bureau of Indian Standard (BIS), which operates gold and silver hallmarking scheme in India, defines hallmarking as the “accurate determination and official recording of the proportionate content of precious metal in precious metal articles.”
• So, it is a “guarantee of purity or fineness” of precious metal articles.

Which metals are covered hallmarking in India?

• The government, through a notification issued on June 14, 2018, notified two categories—gold jewellery and gold artefacts; and silver jewellery and silver artefacts—under the purview of hallmarking.
• So, hallmarking in India is available for jewellery of only two metals—gold and silver.

Exemptions:

• A certain category of jewellery and items will be exempted from the mandatory requirement of hallmarking.
• Export and re-import of jewellery as per Trade Policy of Government of India — Jewellery for international exhibitions, jewellery for government-approved B2B domestic exhibitions will be exempted from mandatory Hallmarking.
• Watches, fountain pens and special types of jewellery such as Kundan, Polki and Jadau are exempted from hallmarking.

What are the purity standards for gold and silver under the hallmarking scheme?

• As per BIS standards, there are three categories of hallmarking based on purity of gold—22 carat, 18 carat and 14 carat.
• Gold of Additional carats 20, 23 and 24 will also be allowed for Hallmarking.
• Jewellers can continue to buy back old gold jewellery without a hallmark from consumers.

What was the need of making hallmarking mandatory?

• India is the biggest consumer of gold. However, the level of hallmarked jewellery is very low in the country.
• Only 30% of Indian gold jewellery is hallmarked.
• One of the reasons responsible for low level of hallmarked jewellery is non-availability of sufficient assaying and hallmarking centres.

Significance of Hallmarking:

• The hallmarking of jewellery/artefacts is required to enhance the credibility of gold jewellery and customer satisfaction through third party assurance for the marked purity/fineness of gold.
• Hallmarking helps to develop India as a leading gold market center in the world.
• The mandatory hallmarking protects the public against lower caratage and ensure consumers do not get cheated while buying gold ornaments and get the purity as marked on the ornaments.

About Bureau of Indian Standards:

• BIS is the National Standard Body of India established under the BIS Act 2016 for the harmonious development of the activities of standardization, marking and quality certification of goods and for matters connected therewith or incidental thereto.
• BIS has been providing traceable and tangible benefits to the national economy in a number of ways –

1. providing safe reliable quality goods;
2. minimizing health hazards to consumers;
3. promoting exports and imports substitute;
4. control over proliferation of varieties etc. through standardization, certification and testing.

Read: https://www.iasgyan.in/blogs/certification-marks-in-india

https://www.thehindubusinessline.com/markets/gold/consumers-can-get-unhallmarked-jewellery-tested-at-hallmarking-centres-consumer-affairs-ministry/article65215170.ece