The allure of gold has captivated people for centuries, with gold jewelry being a highly coveted item, especially for women. However, gold is not just used for decoration, it is also a trusted asset in times of danger. While it was once believed that owning gold could compensate for financial insecurity during times of crisis, the current price of gold makes it only accessible to those with significant financial resources. Despite this, the fascination with gold remains, and it is essential to be aware of the new rules and guidelines before purchasing gold.
As of April 1, 2023, the Union Ministry of Consumer Affairs and Food and Public Distribution has mandated that all gold jewelry and items must have a six-digit hallmark number. This rule applies to both large-scale gold showrooms and small jewelry shops. Previously, the government had issued guidelines to prevent fraud by requiring hallmark numbers, but many small shops did not comply, leading to the introduction of stricter measures. Unscrupulous traders would mix alloys with gold, selling fraudulent jewelry to unsuspecting customers. The Modi government has taken action to address this issue by introducing a unique identification number (HUID) for all gold articles.
On March 3, 2023, the Board of Indian Standards (BIS) chaired by Union Minister Piyush Goyal, made this decision. The new rule will come into effect from March 31, 2023, and the government has taken steps to support small businesses in adhering to the new regulations. The cost of hallmarking fees has been reduced by 80% for micro-scale units, and small businesses in the Northeastern states of India will receive a 10% discount. This measure is being implemented to protect the interests of consumers, who have been cheated by dishonest traders in the past.
While small gold shops and jewelers may claim that the hallmarking fees are too high, this excuse will no longer be tolerated. The Additional Secretary of the Department of Consumer Affairs has emphasized that the new rule is necessary to prevent fraudulent activities and protect consumers' interests. From March 31, 2023, all gold jewelry and items must have a six-digit HUID Hallmark Gold Jewellery number. The central government is determined to enforce this rule, and strict action will be taken against those who fail to comply.