What is BIS Hallmark Registration?

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What is BIS Hallmark Registration?

Gold is considered as a priceless possession in India. Wearing gold is considered auspicious in Indian culture and in times of trouble, it is an unsaid lifebelt against heavy loans or mortgages. It’s something that even your ancestors had preserved for generations to inherit. Gold has always been an integral part of our society, and its demand keeps rising with time. 

Nobody wants to pay hefty prices for gold jewelries just to find out later that they got scammed. To ensure the reliability, quality and safety of gold against the idea of adulteration, GOI has made the BIS Hallmark Registration mandatory. Since 2023, the sale of gold jewelry is prohibited without a 6-digit alphanumeric HUID. 

In this article, we will discuss what the BIS hallmark is and the BIS hallmark registration process.

What is the Bureau of Indian Standards (BIS)?

Bureau of Indian Standards (BIS) is the national standard body which was established in 2016, under the BIS Act. It is responsible for establishing and certifying the quality standards for various products, including jewelry made up of gold. When you see a BIS hallmark on a gold jewelry, it means that the jewelry meets the BIS standards for quality as well as purity.

What is BIS Hallmark?

Hallmark is considered as the official recording of the proportionate content of precious metal within the precious metal articles. Hallmarks are official marks that are used as a guarantee of purity and quality of precious metals articles. Hallmarks are used in many countries around the world.

In India, it is mandatory for the jewelers to get their gold jewelry and artifacts hallmarked by BIS. It is a necessary step which ensures that the gold purity standards set by GOI are met. Based on the Consumer Protection Act 1986, the Ministry of Consumer Affairs, Food & Public Distribution (under which BIS comes) had decided on the compulsory hallmarking of gold. In 2000, BIS introduced the Gold Hallmarking Scheme. Since 1st April, 2023, GOI has mandated 6-digit hallmarking with Hallmark Unique Identification Number (HUID) for the sale or purchase of gold. The hallmark is imprinted on the gold object and can be spotted easily. 

Before you purchase any gold jewelry, make sure it contains these 3 components: BIS Hallmark, Purity Mark and 6-digits HUID. 

BIS Hallmark Registration Process

To get BIS hallmark registration, the following steps need to be taken.

• As a first step, you must ensure all the documents required for registration have been collected in one place.
• Now, visit the official website of BIS for hallmarking.
• Enter login details if you have a persisting account. If not, you need to create a new account and fill in all the required details.
• Now, once your account is created, you can apply for jewelry registration by filling up all the necessary details.
• Make sure all the details have been filled properly. Once you’re sure, submit the application, documents and the prescribed fees.
• A BIS inspector will be assigned to conduct a minute inspection.
• Once this assigned officer is satisfied with the inspection results, he will provide you with the BIS Hallmark Registration Certificate on your registered email address.

The procedure for Hallmarking in India consists of 3 testing stages of which the details are mentioned below:

• Homogeneity Testing: For homogeneity testing, every item is taken from a given sample. These items are minutely checked in order to ensure that they fulfill BIS regulatory standards and requirements.
• Purity Testing: This is a complicated process but a really crucial one. One of 50 similar items is chosen randomly at the time of purity testing. It involves a preliminary test which is performed on each item’s surface. After this, smaller samples are collected for detailed examination of every item. Ultimately, the tests are made more intense for checking the gold’s purity and value.
• Individual item making: This is the final step of the hallmarking procedure. Depending on the test’s final results, laser and press are used for imprinting the hallmark on the gold. In some cases, the gold may be hand-marked as well.

Documents required for BIS Hallmark registration

Here is a list of all the required documents for BIS Hallmark Registration

• Documents required for Proof of the Company’s Establishment 
  • A Partnership Deed (in case the applicant is a Partnership Firm) 
  • CA certificate (in case the applicant is a Proprietorship Firm) 
  • Registration Certificate 
  • Memorandum of Association (MoA) 
• Documents required for Address Proof of the Company 
  • Certificate of GST Registration 
  • Sale/lease deed agreement 
  • Rent agreement as well as the previous rent receipts 
  • Property tax’s latest payment receipt 
  • State government-issued Registration Certificate 
  • Income tax assessment order 
• Documents required for Proof of Annual Turnover 
  • GST returns’ copy of the previous FY
  • An undertaking must be collected from the firm if it is newly established, along with an estimate of the expected turnover and assurance for submitting GSTR.
• Documents required for the Signatory’s ID proof 
  • Copy of the following documents: Passport/Driving License/Aadhaar Card/PAN 
  • Aadhaar-based e-signature/verification

BIS’s Role in Maintaining Quality Standards

The Bureau of Indian Standards (BIS) is the Indian hallmarking system’s backbone. This government body is responsible for setting up the standards and procedures for hallmarking and ensuring that these standards are adhered to across India. BIS supervises the entire process of hallmarking, which involves rigorous testing.

Many steps are involved in the BIS hallmarking process such as testing done for checking the metal’s purity and value, laser marking and the final verification. Assaying and hallmarking centers which are certified by BIS conduct tests for hallmarking. These centers issue the hallmark only if the article meets the BIS-specified standards. In addition to this, BIS conducts audits and inspections of these centers on a regular basis to ensure that they continue to comply with the BIS standards. This helps to maintain the hallmarking system’s integrity in the country.

BIS Hallmarking for building Customer’s Trust

For any business where the customers are dealt with directly, trust plays a major role. This is especially in the case of businesses dealing with precious metals such as gold, platinum and silver. BIS hallmarking plays a crucial role in building and maintaining consumer trust. 

BIS promotes transparency for the customers while they’re making purchases, especially for precious metals like gold and silver. BIS hallmarking states information about the metal’s purity and quality in a clear and easy-to-understand manner and helps to reduce any misunderstanding between sellers and buyers. Frauds and scams related to gold are common. But gold which has the BIS hallmark on it acts as a shield for customers against such frauds and scams. Customers can confidently purchase hallmarked gold jewelry since the hallmark serves as a guarantee of the item’s purity and quality. 

In case a customer faces any problems related to a hallmarked product, they can file a complaint and approach the court of law for a solution. BIS hallmarking allows customers to make informed decisions regarding items which they want to purchase. Customers can choose the hallmarked items that align with their preferences and budget. Whether the item is priced low or high, customers are assured that all the hallmarked jewelry pieces meet the purity and quality standards.

The Impact of BIS Hallmarking on Businesses

BIS hallmarking serves as a benchmark for quality control for businesses dealing with precious metals. BIS ensures that all the manufacturers and jewelers maintain high quality standards at the time of production. This is not only beneficial for the customers but also for the businesses since it helps to maintain the reputation of their brands. Moreover, such businesses have a competitive edge. Due to the assurance of quality, customers opt for hallmarked items. Businesses that only deal with hallmarked items have a better reputation in the market. BIS hallmarking is a legal requirement in India and businesses that fail to get their gold items hallmarked can face penalties, fines and even imprisonment. Such businesses lose the faith of their customers. This is why, all the businesses must adhere to the hallmarking standards of BIS to avoid legal repercussions. BIS hallmarked products help the businesses to build a strong brand reputation. Such businesses are able to expand their customer base which can lead to increased sales.

Conclusion

BIS Hallmarking is more than a process for marking gold in India. It builds trust between the businesses and their customers. Due to the hallmark present on a gold jewelry, a customer considers the jewelry to be genuine, pure and valuable. Businesses benefit from the hallmark since it helps them gain credibility, competitiveness and comply with the BIS standards which are recognized in all the parts of the country. BIS is dedicated towards upholding the quality standards in the jewelry industry. Many frauds related to gold have been prevented due to BIS.

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