India introduces mandatory labelling of gold jewellery

29. January 2020

A marking, called a hallmark in technical jargon, for the authenticity and purity of gold jewellery and gold artifacts will be obligatory in India from January 2021, according to Consumer Minister Paswan. On 15 January this year it was announced that all jewellers in the country must register with the Bureau of Indian Standards (BIS) and after a transitional period of 12 months may only sell pieces with the official mark. The stamp of authenticity serves as proof of the purity of the precious metal and is currently only to be affixed voluntarily. The BIS has already introduced a program for marking since 2004, and in the meantime about 40 percent of all gold jewelry is stamped with the hallmark.

Jewellers and retailers have one year to clear their warehouses or mark existing goods with the hallmark. Minister of Consumer Affairs Paswan emphasized that the decision to make labelling mandatory was in the interest of consumer protection, especially in smaller towns and villages, and to ensure that the goods were genuine gold jewelry. Jewellery and gold already in the customers’ possession does not have to be labelled retrospectively as it is usually tested or melted down when jewellers make a buy. The Bureau of Indian Standards (BIS) has established three purity levels for gold jewelry: 14, 18 and 22 carats. The government is also considering making it mandatory to display retail prices per unit of weight (gram or ounce) for these three grades. In order to obtain the certificate of authenticity, the BIS opens inspection offices throughout the country where jewellers can have their jewellery examined and also officially register as gold sellers with the BIS.

India is the world’s largest importer of gold, mainly for the jewellery industry. Each year, the country imports between 700 and 800 tons of gold. The government is also planning to introduce similarly strict quality standards for imported gold jewellery, said Consumer Affairs Minister Paswan. In India, the Bureau of Indian Standards (BIS) is responsible for the certification of various product groups. BIS certification is intended to guarantee the quality, safety and reliability of products to third parties. For information on the complete list of relevant products as well as further questions regarding the BIS certification, please contact us.