Hallmark Registration - Overview
The hallmarking of gold and silver jewelry is a crucial step in ensuring the purity and authenticity of precious metals in India. To regulate the quality of these metals and protect consumer interests, the Bureau of Indian Standards (BIS) has mandated that all gold and silver jewelry sold in the country must be hallmarked. This article will discuss various aspects of BIS Hallmark Registration, the hallmarking process, and its significance in India.
What is Hallmarking?
Hallmarking is a process that certifies the purity of precious metals, such as gold and silver, used in jewelry and artifacts. It guarantees that the jewelry meets the standards established by the BIS. For example, a hallmark on gold jewelry assures customers that they purchase genuine gold of certified purity.
In India, the hallmarking process involves engraving specific jewelry symbols or codes that indicate purity and authenticity. As of April 1, 2023, all gold jewelry must feature a 6-digit Hallmark Unique Identification Number (HUID), which consumers can easily verify.
Importance of Gold Hallmarking in India
The mandatory hallmarking of gold and silver jewelry serves several important purposes:
- Standardization of Purity: Hallmarking ensures that gold and silver jewelry meets the purity standards defined by the Bureau of Indian Standards (BIS), which helps reduce the risk of adulteration.
- Consumer Protection: With hallmarking in place, buyers can be confident that the jewelry they purchase matches the claimed purity, thereby protecting them from fraudulent practices.
- Market Credibility: Jewelers who adhere to hallmarking standards build trust and credibility with their customers, enhancing their reputation in the market.
- Global Standards Compliance: Mandatory hallmarking aligns Indian jewelry standards with international quality benchmarks, which increases global acceptance of Indian products.
- Improved Resale Value: Hallmarked jewelry typically commands a higher resale value, as it guarantees the purity of the metal.
BIS Hallmarking Scheme in India
The Bureau of Indian Standards (BIS), operating under the Ministry of Consumer Affairs, is the authority responsible for regulating the hallmarking of gold and silver in India.
- Gold Hallmarking Scheme: Introduced in 2000, this scheme certifies the purity of gold jewelry. The hallmark for gold includes the BIS logo, the purity grade (for example, 22K916 for 22-karat gold), the jeweler’s identification mark, and a 6-digit HUID number.
- Silver Hallmarking Scheme: Launched in 2005, this scheme ensures the standardization of silver artifacts and jewelry. The hallmark for silver contains similar information as for gold, with purity grades such as 990, 970, and 925.
How to Apply for a BIS Hallmark License for Jewelry?
Jewelry manufacturers must obtain a BIS license to hallmark their products. This license authorizes them to utilize the hallmarking facilities provided by BIS-recognized Assaying and Hallmarking Centres (AHCs). Here is a clear, step-by-step guide to applying for a hallmark license:
- Registration on the BIS Portal: Visit the official BIS website and navigate to the Hallmark Registration section. Create an account and log in to the portal.
- Submission of Documents: Applicants must submit essential documents, including:
- Proof of establishment (such as a business registration certificate or GST registration).
- Identification and address proof of the jeweler.
- Details of manufacturing or retail units.
- Pay the application fee as prescribed by the BIS.
- Inspection of Premises: After submitting your application, BIS officials will inspect your premises to ensure compliance with hallmarking standards.
- Grant of License: Following a successful inspection and verification of documents, BIS will grant the hallmarking license to the jeweler.
By following these steps, jewelers can effectively apply for and obtain a BIS hallmark license.Once the license is obtained, jewelers can send their jewelry to BIS-recognised Assaying and Hallmarking Centres (AHCs), where the purity of gold or silver is tested and certified. The jewelry is then engraved with the hallmark symbols, including the 6-digit HUID code.
Hallmarking Process for Gold and Silver Jewellery
The hallmarking process ensures the purity and authenticity of gold and silver jewelry through the following steps:
- Sampling:Jewellery samples are collected and sent to the BIS-recognised AHCs.
- Purity Testing: The metal undergoes rigorous testing to determine its purity using advanced techniques.
- Engraving Hallmarks: If the sample meets the purity standards, hallmarking symbols, including the HUID, are engraved onto the jewelry.
- Documentation: A certificate of authenticity is issued, which includes details about the jewelry's purity and hallmark.
Documents Required for Hallmark Registration
Here is a clear list of documents needed for hallmark registration:
- Proof of establishment for the company or firm
- Registered partnership deed (if the applicant is a partnership firm)
- Registration certificate issued by the Registrar of Companies (ROC) and the Memorandum of Association (MoA)
- Chartered Accountant (CA) certificate (if the applicant is a proprietorship firm)
- Address proof of the company or firm
- GST registration certificate
- Income tax assessment order
- Sale or lease deed agreement
- Rent agreement with previous rent receipts
- Latest receipt of property tax
- Registration certificate issued by a state government
- Proof of annual turnover
- Copy of GST returns for the previous financial year
- If the firm is new, an undertaking stating the estimated turnover and an assurance to submit GSTR should be provided
- ID proof of the signatory
- Aadhaar-based verification or e-signature
- Copy of PAN card, Aadhaar card, passport, driving license, or a photo ID card issued by a Gazetted Officer on official letterhead
Make sure to gather all these documents for a successful hallmark registration process.
Hallmark license fees
The Government of India has provided guidelines for setting Hallmark License Fees, known as Registration Fees. It depends on the turnover in place population. Here's a table depicting hallmark licensing fees in India:
New Mandates for Hallmarking in India
The Indian government has implemented several changes to the hallmarking rules to make the process more consumer-friendly and efficient:
- 6-Digit HUID: Introduced to ensure better traceability and transparency in the hallmarking process.
- Mandatory Hallmarking: As of April 2023, all gold jewelry sold in India must carry the BIS hallmark and HUID.
- Increased Penetration of Hallmarking Centres: To make hallmarking accessible to more jewelers, the BIS has established over 1400 hallmarking centers across the country.
Benefits of BIS Hallmarking for Jewellers and Consumers
For Consumers:
- Guarantees the purity and quality of the gold or silver purchased.
- Reduces the risk of fraud or adulteration.
- Ensures peace of mind while investing in precious jewelry.
0l>
For Jewellers:
- Builds credibility and trust among customers.
- Aligns with government regulations, avoiding penalties or legal issues.
- Enhances market competitiveness by adhering to global standards.
0l>
Conclusion:
The BIS Hallmarking Scheme for gold and silver jewelry is a transformative step towards ensuring transparency, trust, and standardization in the Indian jewelry market. With mandatory hallmarking and the introduction of the 6-digit HUID, consumers can now purchase gold and silver with greater confidence. For jewelers, adhering to hallmarking standards not only ensures compliance with government regulations but also enhances their credibility in the market.
If you’re a jeweler planning to apply for a hallmark license, make sure to follow the hallmark registration process outlined above to meet the BIS guidelines and contribute to a more trustworthy and standardized jewelry industry in India.
Navigating the hallmark registration process can be challenging, especially for small and medium-sized enterprises. EVTL India is a leading BIS hallmark registration consultant dedicated to assisting manufacturers in obtainingBIS hallmark registration efficiently. With expertise in managing BIS portal submissions, documentation, and regulatory fees, EVTL India ensures a smooth and successful hallmarking process. By choosing EVTL India, manufacturers can enhance their product's marketability both in India and internationally, securing a competitive edge. Additionally, EVTL India provides ongoing support post-certification, helping manufacturers maintain compliance with BIS standards and renew their licenses as needed.
Frequently Asked Questions (FAQ)
What are the new rules for BIS Hallmark?
April 1, 2023, onwards all gold jewelry and artifacts will need to mandatorily carry a 6-digit alphanumeric HUID or Hallmark Unique Identification. This number will help consumers trace the gold jewelry back to its jeweler and also help check its purity.
Can we sell gold without a BIS Hallmark?
No, the hallmarking of gold jewelry has been made mandatory across India as of June 2021. Only BIS-certified hallmarking centers can certify the purity of gold jewelry sold in the market.
Is a hallmark certificate mandatory?
Hallmarking of gold jewelry and artifacts is mandatory in India. It is an important step toward the implementation of gold purity standardization. The Ministry of Consumer Affairs has decided on the compulsory hallmarking of gold based on the Consumer Protection Act 1986.
How to get a BIS Hallmark license?
You can get a hallmark license in India through the following documents, which include the following-
● Premises Document (Sell Deed/Rent Agreement)
● Showroom Establishment Certificate (Business Licence)
● GST Certificate.
● Turnover proof.
● Owner identity proof (Aadhar Card)
● Logo of the showroom.
● Letter Head (for Registered Email ID and Contact No.)
How to get a huid number?
The HUID number is given at a BIS-certified Assaying and Hallmark center. It offers a distinct identity to gold jewelry and also makes it traceable. It also offers transparency, ensures customers' rights and credibility to the Hallmarking, and is useful when addressing complaints about the hallmarked jewelry.
What is the validity of the hallmark certificate?
The validity of the hallmark certificate is five years.