Indian Gold Book:Indian Gold Book - Gold Bars Worldwide
Indian Gold Book:Indian Gold Book - Gold Bars Worldwide
Indian Gold Book:Indian Gold Book - Gold Bars Worldwide
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
HALLMARKING<br />
The Bureau of <strong>Indian</strong> Standards (BIS), the national standards body of India, launched its long-term<br />
scheme to encourage the voluntary hallmarking of gold jewellery in April 2000.<br />
Known as the BIS Certification Scheme for Hallmarking of <strong>Gold</strong> Jewellery, the scheme is supported by the Reserve Bank<br />
of India.<br />
It has 4 declared objectives:<br />
• Protect the consumer against irregular gold quality.<br />
• Support the export of gold jewellery.<br />
• Develop gold-based financial products to assist in mobilising dormant gold reserves in private hands.<br />
• Develop India as a reliable gold market centre commensurate with its status as the world’s largest national gold<br />
market.<br />
In early 2002, 12 Assaying and Hallmarking Centres had been authorised to service 275 Certified Jewellers.<br />
BACKGROUND<br />
Established in 1986, BIS falls under the administrative control of the Department of Consumer Affairs within<br />
the Ministry of Consumer Affairs, Food and Public Distribution. Its headquarters is in New Delhi, with regional<br />
offices in Mumbai, Kolkata, Chandigarh and Chennai, supported by branch offices in 17 other cities.<br />
The BIS scheme involves the authorisation of independent entities to act as Assaying and Hallmarking Centres, and the<br />
certification of jewellers (Certified Jewellers) to use the centres for hallmarking purposes.<br />
In the first 18 months, BIS has authorised 12 centres (in 9 cities) and certified 275 jewellers. Although most Certified<br />
Jewellers are retailers, fabricators and wholesalers can also be appointed.<br />
Plain gold jewellery has been hallmarked since June 2000, and gold jewellery incorporating diamonds since September 2001.<br />
The scheme is voluntary, and there is no obligation on Certified Jewellers to hallmark all the gold jewellery that they retail,<br />
fabricate or wholesale.<br />
As BIS receives no government subsidy, the hallmarking scheme (like all other BIS schemes) is obliged to operate as a<br />
business in order to cover its technical, administrative and promotional costs. Income is derived from charges levied on<br />
Hallmarking Centres, Certified Jewellers and each item of jewellery hallmarked.<br />
The hallmarking scheme is in line with the International Convention on the Control and Marking of Articles of Precious Metals<br />
(Vienna Convention). BIS expects that India will in due course become a member of the Vienna Convention so that articles<br />
hallmarked in India can be imported into member countries without further testing or marking.<br />
HALLMARKING CENTRES<br />
Hallmarking Centres are obliged to have a legal identity and an independent status. They may not be linked to<br />
any jewellery manufacturer or retailer, although they can be set up by a Jewellers’ Association provided that no office<br />
bearer is involved in day to day activities.<br />
BIS specifies rigorous procedures for the receipt, sampling, assaying and hallmarking of jewellery as laid down in IS (<strong>Indian</strong><br />
Standard) 1417 (fineness and marking), IS 1418 (assaying methods) and ISO 9002 (receipt, sampling and hallmarking).<br />
Hallmarking Centres are audited at least twice annually by trained BIS assessors.<br />
A batch of jewellery is initially assayed for homogeneity using a touchstone. A minimum of 10% of the items is then scraped,<br />
cut or drilled to provide a composite sample for testing by fire assay or spectrometric assay. Hallmarks are applied by punch<br />
or laser. The centre is required to complete its assaying and hallmarking procedures within 48 hours of the receipt of the items.<br />
CERTIFIED JEWELLERS<br />
Jewellers are only certified if they adopt a system of quality management approved by BIS. Prior to its arrival<br />
at a Hallmarking Centre, each batch of jewellery items must also be checked for homogeneity and assayed in-house, and<br />
the caratage specified.<br />
BIS Certified Jewellers are required to display their BIS Licence Number. Hallmarked jewellery should be clearly<br />
differentiated from non-hallmarked jewellery in a separate showcase, or with a tag or label. Display materials should<br />
illustrate and define the components of hallmarks, as well as record the millesimal fineness of authorised caratages.<br />
A magnifying glass to enable customers to see the hallmarks should also be available.<br />
132<br />
AN INTRODUCTION TO THE INDIAN GOLD MARKET