HALLMARK
1. Context
The government announced the phased implementation of mandatory hallmarking of gold jewellery with effect from June 16. In the first phase, gold hallmarking will be available in only in 256 districts and jewellers having annual turnover above Rs 40 lakh will come under its purview
2. What is hallmark?
- A hallmark can refer to different things depending on the context, but generally, it signifies a distinguishing feature, characteristic, or mark that is indicative of a particular quality or origin.
- In the context of products, especially precious metals like gold and silver, a hallmark is a mark or stamp on an item that certifies its quality, purity, and authenticity. This is often done by an official assay office or regulatory body
- More broadly, a hallmark can refer to a distinctive feature or characteristic that is typical of a particular person, thing, or period. For example, honesty might be considered a hallmark of a person's character
- It can also refer to a symbol or mark that represents a tradition or is associated with a particular period, style, or quality. For instance, a specific style of craftsmanship might be considered the hallmark of a particular era.
- In a legal or official sense, a hallmark may be an official mark or stamp used to validate or authenticate something. This could include official seals on documents, for example.
- 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.
3. What are the metals covered under Hallmark?
- The government, through a notification released on June 14, 2018, identified two categories, namely gold jewellery and gold artefacts, as well as silver jewellery and silver artefacts, to fall under the jurisdiction of hallmarking.
- Consequently, hallmarking is applicable in India specifically for jewellery composed of gold and silver. Nevertheless, a specific subset of jewellery and items will be excluded from the compulsory hallmarking requirement.
- As per the Department of Consumer Affairs, jewellery intended for export and re-import in accordance with the Trade Policy of the Government of India, as well as jewellery for international exhibitions and government-approved B2B domestic exhibitions, will not be subject to mandatory hallmarking.
- Additionally, the Ministry of Consumer Affairs, Food, and Public Distribution has specified that certain items such as watches, fountain pens, and distinct types of jewellery like Kundan, Polki, and Jadau are exempted from the hallmarking requirement.
- As per BIS standards, there are three categories of hallmarking based on purity of gold—22 carat, 18 carat and 14 carat.
4. Significance of Hallmarking
India is the biggest consumer of gold. However, the level of hallmarked jewellery is very low in the country. According to the ministry, at present, 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 (A&HC). There are about only 35,879 jewellers across the country, who are certified by BIS. The number of A&HC is 945
5. Way forward
The government had announced mandatory hallmarking of gold several years back. However, it could not implement the same and kept postponing the dates. In November 2019, the government had announced the mandatory hallmarking of gold jewellery and artefacts across the country.
Source: Indianexpress
