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Hallmark Registration In India

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Hallmark Registration- An Overview

  • In accordance with Indian Standards, hallmark registration certifies the purity of gold and silver articles. This is conducted by the Bureau of Indian Standards (BIS).In order to ensure the quality of gold and silver products, manufacturers and sellers must obtain hallmark certification. A BIS-approved assaying and hallmarking centre conducts an inspection, tests, and issues a hallmark registration certificate.

What Is Hallmarking?

 
  • Hallmarking is the process of determining and certifying the purity of precious metal articles, such as gold and silver, in compliance with specific standards set by a regulatory body. The hallmark or mark of quality is then imprinted on the article as proof of its purity and quality. The process involves assaying or testing the metal content and fineness of the article, followed by hallmarking or stamping with the appropriate mark. Hallmarking ensures that consumers receive genuine and high-quality precious metal articles and also helps prevent fraud and counterfeiting in the market.

Benefits of hallmarked gold

  • Mandatory hallmarking of gold jewellery provides much-needed assurance to buyers about their quality. 
  • It ensures higher exchange or resale value because quality standardisation always leads to price parity. This increases the trading of gold articles.
  • Buyers receive the necessary legal protection. Hallmarked gold/silver ensures they don’t get caught in fraud. 
  • By selling hallmarked jewellery, retailers lay the base of sustainable business growth. 

It is not possible to assess the purity of gold simply by looking at it. So, if you spot the BIS hallmark on any gold article you purchase, you’ll know it’s of high quality. Assurance of high quality is something which consumers desire. Mandatory gold hallmarking will not only develop customers’ trust, it will strengthen the industry as a whole.

Hallmarking Procedure in India

The hallmarking procedure consists of three stages:

  • Homogeneity testing
  • Purity testing, and
  • Individual item marking
  • Homogeneity Testing: During homogeneity testing, all items within a given sample are taken and checked to ensure that they meet BIS regulatory standards.
  • Purity Testing: Purity testing is the most difficult step in the process because the items are thoroughly tested. To begin, one of 50 similar items is chosen at random for testing. Then, a preliminary test is performed on the surface of each item, followed by the collection of smaller samples from each item for further detailed examination. Finally, intense assay tests are performed to determine the gold’s value, purity, and fineness.
  • Individual Item Marking: After this rigorous testing is completed, the final step is to mark individual items. Hallmarks are applied using laser, press, or hand marking based on the results of the tests.

 

Documents Required for Hallmark Registration

  • Certificate of registration issued by ROCs along with MOA (memorandum of association);
  • partnership deed (in case the applicant is a partnership firm)
  • CA certificate (in case the applicant is a proprietorship firm);
  • CA certificate incase of turnover more than ₹40 lakhs;
  • GST registration
  • Sale or lease deed agreement;
  • Rent agreement with last rent receipt;
  • Latest property tax receipt;
  • Income tax assessment
  • Registration with state government authority.
  • Copy of Aadhaar card or PAN card or passport or driving license or voter ID or photo ID card issued by Gazetted Officer on official letterhead;
  • Aadhaar-based verification or e-signature;
  • Location map indicating the location of premises from the nearest landmark for each outlet.
  • Copy of GST returns of previous financial year;
  • In case the firm is new, an undertaking should be taken from the firm with the estimation of expected turnover & assurance to submit GST returns.

Importance of Hallmark Registration Certification

  • Hallmarking certifies the purity and quality of precious metal articles
  • It is mandatory for manufacturers and sellers of gold and silver articles to obtain hallmark certification in India
  • Hallmarking helps prevent fraud and counterfeiting on the market
  • Hallmarking is recognised globally as a mark of quality and purity
  • Due to their assurance of purity and quality, hallmarks for gold and silver articles have a higher resale and investment value.

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Frequently Asked Questions (FAQs)

Hallmarking certifies the quality and purity of precious metals such as gold, silver, and platinum. It involves testing and marking the metal with a unique code representing its purity and authenticity.
In India, gold and silver are the two metals that are hallmarked. Platinum is currently optional to be hallmarked in India.
The Bureau of Indian Standards (BIS) operates the hallmarking scheme in India. It is responsible for setting the standards for hallmarking, testing precious metals, and issuing hallmarking certificates.
The hallmarking charges in India are generally based on the weight of the metal being hallmarked, as well as the number of items being hallmarked. The charges can vary depending on the jeweller and the location.
The main objectives of the hallmarking scheme are to protect consumers from the adulteration of precious metals, to promote consumer confidence, and to support the growth of the precious metal industry by ensuring high standards of quality and purity.
The BIS hallmark for gold jewellery is a certification mark that indicates the purity of the gold in the jewellery. The hallmark consists of a triangle shape with the letters ‘BIS’ inside it, along with the purity grade of the gold.
The BIS hallmark for silver jewellery is a certification mark that indicates the purity of the silver in the jewellery. The hallmark consists of a rectangular shape with the letters ‘BIS’ inside it, along with the purity grade of the silver.
The BIS can cancel a jeweller’s hallmarking license if the jeweller is found to be violating any of the hallmarking rules and regulations, such as using counterfeit hallmarks, providing false information, or failing to meet the required standards of purity and quality.
 

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