The government has made it clear that the sale of gold jewellery and artefacts hallmarked without HUID will not be permitted after March 31, 2023. This is part of the government’s efforts to protect consumers from fraud and ensure uniform standards of gold quality across the country.
In June 2021, the Bureau of Indian Standards (BIS) made hallmarking of gold jewellery and artefacts mandatory. This was done so as to enhance the credibility of the jewellery and customer satisfaction through third party assurance for the marked purity of gold, consumer protection.
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Starting from April 1, 2022, jewellers will be able to sell only 14, 18 and 22 carats of gold jewellery and other items that have been certified by the Bureau of Indian Standards (BIS) for their purity.
Hallmarking is a process that verifies the gold content in jewellery and artefacts. It involves engraving a Hallmark Unique Identification Number (HUID) on each piece of jewellery at an authorised Assaying & Hallmarking centre. The HUID can be used to trace the source and quality of the gold.
The government has made this move to protect consumers from fraud and ensure uniform standards of gold quality across the country. According to BIS, there are about 940 Assaying & Hallmarking centres in India, out of which 256 are located in districts where hallmarking will be mandatory in the first phase.
Consumers can check whether their jewellery is hallmarked or not by looking for four symbols on it: BIS logo, purity in carat, identification mark or number of the hallmarking centre, and identification mark or number of the jeweller.
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The HUID number provides a distinct identity to each piece of jewellery enabling traceability. It is critical to the credibility of Hallmarking and addressing complaints regarding purity of Hallmarked jewellery. In HUID based Hallmarking, registration of jewellers is automatic with no human interference. It is aimed at ensuring the purity of Hallmarked jewellery and checking any malpractice.
Jewellers who violate this rule could face a penalty of five times the price of the jewellery or one year imprisonment or both. However, jewellers can continue to buy back old gold jewellery without hallmark from consumers.
Overall, the mandatory hallmarking of gold jewellery and artefacts with HUID is a win-win for everyone. It brings about transparency, ensures consumers’ rights and obviates the chances of Inspector Raj. Anyone can get existing jewellery Hallmarked and get true valuation of Gold.
The HUID-based hallmarking offers consumers higher resale or exchange value of gold articles as quality standardization will lead to price parity. It also assures them of the purity of gold they buy.
