The increase works out to:
(₹75 − ₹45) ÷ ₹45 × 100 = 66.67%
A minimum fee of ₹200 per consignment applies. Additionally, BIS charges hallmarking centres ₹7.50 per gold article, subject to a minimum of ₹20 per consignment.
How will the increase affect jewellery bills?
Although the percentage increase appears steep, the additional cost is ₹30 per article. If a jeweller passes on the entire increase, purchasing five ornaments could cost ₹150 more.
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Consider an illustrative purchase of a 10-gram, 22-carat gold ornament.
Assumptions:
24K gold rate: ₹12,000 per gram
Gold purity: 91.6%
Making charges: 10%
GST: 3%
Hallmarking fee: ₹75
Gold value: 10 × ₹12,000 × 0.916 = ₹1,09,920
Making charges: ₹1,09,920 × 10% = ₹10,992
GST: (₹1,09,920 + ₹10,992) × 3% = ₹3,627.36
Final bill: ₹1,09,920 + ₹10,992 + ₹3,627.36 + ₹75 = ₹1,24,614.36
With the earlier ₹45 hallmarking fee, the comparable bill would have been ₹1,24,584.36.
The calculation assumes the hallmarking fee is added separately after GST. Actual billing and tax treatment may differ.
What is gold hallmarking, and why is it important?
Gold hallmarking is a certification process that verifies the purity of jewellery and other gold articles. In India, where gold carries cultural, social and financial significance, hallmarking promotes transparency and protects consumers against adulteration and misrepresentation.
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BIS regulates the hallmarking framework under the Ministry of Consumer Affairs. Mandatory hallmarking was introduced in phases beginning June 2021 to standardise purity certification.
Authorised centres test gold using methods including fire assay and X-ray fluorescence before certifying eligible articles.
Hallmarking helps consumers establish whether jewellery contains the promised gold content. For instance, 22K gold contains approximately 91.6% gold, while 18K contains 75%.
It also supports fair pricing, improves resale confidence and helps jewellers demonstrate compliance with quality standards.
How can consumers verify hallmarked gold?
A BIS hallmark currently contains three identifiers: the BIS logo, purity expressed through caratage and fineness, and a six-digit alphanumeric Hallmark Unique Identification (HUID) number.
Consumers can verify the HUID using the BIS Care application.
Buyers should request itemised invoices specifying purity, net gold weight, making charges, GST and hallmarking fees.
Meanwhile, silver hallmarking charges remain unchanged at ₹35 per article.
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