Mandatory Implementation of 6-digit HUID- BIS Hallmarking

For the Indians, the gold and silver serve a highly reputable symbolic purpose. The composition of gold represents wealth, divinity, and good fortune. Gold is extensively utilized in religious ceremonies, festivals, and Indian weddings. But who cares about the gold purity? For the people, gold is not only about a metal but also about the deep connection with its purity. Conversely, for gold and silver, the national authority, the Bureau of Indian Standards, serves as the purity identifier. The regulatory authority allows only gold and silver jewelry in the market that has a hallmark.

This means that for consumers, the BIS gold hallmarking serves as a form of identification. To enhance the purity of the gold jewelry or artifacts, the national authority published a new policy in 2023. The authority mandates the use of HUID for the gold. This comprehensive guide will shed light on why the manufacturers need a 6-digit hallmark Unique Identification Number for gold, its purpose, the registration process, and much more. Let’s discuss it in more detail.

What is HUID for BIS Gold Hallmarking?

On April 1, 2023, the Bureau of Indian Standards implemented a policy related to BIS hallmarking for gold. The authority mandates that all gold operators use the HUID. Concerning gold, HUID refers to “Hallmark Unique Identification.” It contains a 6-digit unique number. The authority has further clarified that the gold trade is prohibited in Indian markets without the 6-digit HUID.

Before its implementation, the gold jewelers were operating without HUID. To clear the stock of 4-digit hallmarked articles, the authority gave the businesses more than one year. In short, the HUID for gold acts as a fingerprint that ensures its purity and transparency.

Why is HUID Vital for BIS Gold Jewellery in India?

As of April 1, 2023, every newly manufactured gold jewelry item is required to display a six-digit Hallmark Unique Identification number. This is a compulsory regulation for gold businesses operating in India. This stipulation is a component of the mandatory hallmarking scheme established by the Bureau of Indian Standards (BIS). Here is why HUID is important for gold:

Traceability: HUID for gold creates a tracking route. This allows for tracking of gold jewelry from the supplier to the customers. It ensures transparency as well as accountability.

Purity Identifier: HUID is a core part of BIS hallmarking in India. It is an element of trust for the customers. The gold they are purchasing contains the gold purity ensured by HUID.

Customer Protection: The Hallmarking Unique Identification (HUID) restricts the entry of gold fraudsters. This indicates that for the price you are paying, you are receiving standard quality.

Legal Requirement: Operating the gold business without the HUID mark is an illegal act. For this non-compliance, the operator can face strict action, including a potential fine or imprisonment if the violation is significant.

Note: To verify the HUID of the gold jewelry you have bought, you can utilize the BIS Care app.

How to Verify the Authenticity of Gold Jewelry?

The customers can now verify their purchased gold. The authority published the BIS Care App that permits customers to check the gold purity. By verifying the number, you will get the details of the gold item, purity, details of the jeweler, and the hallmarking center. The steps for authenticity verification are

BIS Care App

Download the BIS care app on any device via the App Store.

Locate the HUID Number

The 6-digit unique identification number is inscribed on the gold jewelry. 

Select “Verify HUID.”

Next, with the verification by selecting the option “verify HUID” on the app.

Enter Code

For verification, enter the six-digit code.

Ensure Details 

The screen displays the details of the gold item as well as the jeweler’s information and hallmarking date. 

The Penalties with BIS Hallmarking Non-Compliance

Whether you are a manufacturer, importer, or retailer, registering with the Bureau of Indian Standards is mandatory for gold jewelry. However, non-compliance with the BIS hallmark can raise significant penalties. Here is a breakdown:

Monetary Penalties: Under the BIS Act 2016, the gold operators can face the minimum penalty of Rs 200,000 for non-compliance. Well, the fine penalty amount can be increased further. Thus, the BIS registration for gold hallmarking is a mandatory step. 

Imprisonment: In addition to fines, imprisonment is another penalty that can be more severe. The non-compliant offender may face imprisonment for up to two years or more. The length of imprisonment is depends upon the severity of the violation. 

Legal Action: The Bureau of Indian Standards can take legal or criminal action against the offender. The people who misuse the BIS standard mark, including the hallmark, can face strict legal action.

BIS Hallmarking Renewal to Stay Compliant

The renewal of the BIS hallmarking is a comprehensive process in which the operators renew their license to use the BIS hallmark. BIS hallmarking license renewal after a certain period, which marks the legal requirement. In more detail:

1. The Bureau of Indian Standards promotes adherence to the Quality Management System (QMS) among manufacturers.
2. If manufacturers obtain a BIS hallmarking license for gold, they must renew it promptly.
3. Typically, the BIS hallmarking registration is valid for two years. Prior to the expiration of the license number, it is advisable to apply online for renewal with BIS.
4. Renewal of the BIS license for hallmarking requires maintaining the same products and providing no changes to the product or standard. 
5. During the BIS Hallmark registration for renewal, the manufacturer is required to pay the renewal fee along with the annual advance minimum marking fee.
6. If the manufacturer applies for renewal after the license expiry date, the late fee will be marked. For the late BIS certificate for gold renewal, you will be charged Rs 5000.
7. The 6-digit hallmarking with HUID is mandatory for selling or buying gold in India.

Conclusion | BIS Hallmark Registration for Gold in India

Since April 1, 2023, all gold businesses have needed to use the mark of HUID on their gold products. HUID is a 6-digit unique identification number that signifies the principles of transparency, trust, and traceability. The code protects the customers from fraudsters and ensures the amount they pay receives the same purity and quantity of items. BIS certification represents a more accessible commitment to ensuring customer safety. To align with national authority requirements, get in touch with Legal Raasta experts. The firm specializes in providing comprehensive gold hallmarking certificates. 

FAQ |  BIS Act in India for gold Jewelry Hallmarking

1. What if there is no HUID?

Ans. Gold jewelers can suffer from serious legal risks if they do not display the unique identification number. 

2. Can a BIS hallmark be fake?

Ans. Yes, the BIS-hallmarked jewelry can be fake.

3. What does 916 hallmarked gold jewelry signify?

Ans. The code 916 highlights the composition of 22-karat gold. It means the jewelry that has these numbers contains 91.6% gold.  

4. What is the fee for BIS certificate renewal?

Ans. To renew the BIS license online, an application fee of Rs 28,000 is required.

5. Under which Ministry does BIS monitor?

Ans. The Bureau of Indian Standards operates under the Ministry of Consumer Affairs, Food and Public Distribution.