Gold vs. Silver Hallmarking in India: What the Law Requires and What Is Still Voluntary

Gold and silver hallmarking in India confuses many buyers. Is every ornament certified? What about silver? In short, gold hallmarking is compulsory in notified districts, while silver hallmarking is voluntary, though any hallmarked silver must now carry a unique ID. This guide suits everyday buyers and small jewellers, so legal terms are explained plainly.

Hallmarking began in India as a voluntary Bureau of Indian Standards (BIS) scheme, for gold in 2000 and for silver in 2005. Misleading purity claims were common, so the government made gold hallmarking compulsory in 2021 and added digital traceability in 2023.

What Is Hallmarking?

Hallmarking is an official purity certificate. A BIS-recognised Assaying and Hallmarking Centre (AHC), meaning a testing laboratory, checks the metal and laser-marks the piece with:

  • The BIS logo
  • A purity grade, such as 22K916 or 925
  • A six-digit alphanumeric Hallmark Unique Identification (HUID) number, unique to each article

The Laws That Apply

  • Bureau of Indian Standards Act, 2016: the parent law. Section 16 lets the Central Government make hallmarking compulsory by order, and Section 29 sets penalties.
  • BIS (Hallmarking) Regulations, 2018: rules on jeweller registration, AHC recognition and marking.
  • Hallmarking of Gold Jewellery and Gold Artefacts Order, 2020: the compulsory gold rule, effective 23 June 2021 and amended in phases.
  • Consumer Protection Act, 2019: covers unfair trade practices and misleading claims, with refunds and compensation.
  • Bharatiya Nyaya Sanhita, 2023: cheating provisions can apply to deliberate purity fraud.

Gold Hallmarking in India: Mandatory

Compulsion applies only in notified districts, meaning those listed in the Order. Coverage began with 256 districts and reached 380 districts under the sixth phase, effective March 2, 2026. Covered purities are 9, 14, 18, 20, 22, 23 and 24 carat, and HUID has been compulsory since April 2023. Jewellers in these districts must register with BIS and sell only hallmarked gold.

Exemptions:

  • Jewellers with annual turnover up to Rs 40 lakh
  • Export jewellery and permitted business-to-business supply
  • Watches, fountain pens and special jewellery like Kundan, Polki and Jadau
  • Districts not yet notified, where hallmarking stays optional

Silver Hallmarking: Voluntary, With a Catch

Silver hallmarking has been voluntary since 2005. Since 1 September 2025, however, any hallmarked silver article must carry a HUID. BIS recognises seven grades: 800, 835, 900, 925, 970, 990 and 999. BIS is examining the framework and infrastructure needed for mandatory silver hallmarking, and reports suggested October 2026. I found no notified order, so check with BIS before relying on any date.

Gold and Silver Hallmarking in India at a Glance

FeatureGoldSilver
StatusMandatory in 380 districtsVoluntary
Purities9K to 24K800 to 999
HUIDCompulsoryCompulsory if hallmarked
Turnover exemptionUp to Rs 40 lakhNot applicable
Penalty for skippingYesNone

Recent Updates

  • 9-carat gold was added to mandatory hallmarking in July 2025.
  • Silver HUID began in September 2025.
  • District coverage rose to 380 in March 2026.
  • A July 2026 BIS circular requires AHCs to photograph each article with its hallmark.
  • BIS reported over 30 enforcement actions against jewellers in 2025-26.

Penalties and Remedies

Selling unhallmarked gold in a notified district can attract imprisonment up to one year, a fine of at least Rs 1 lakh (extendable to five times the article’s value), or both. BIS can also cancel a jeweller’s registration. Buyers can complain to BIS, seek a refund or compensation before a Consumer Commission, or report cheating to the police.

FAQs

Must I hallmark my old jewellery?

No. Owning unhallmarked jewellery is lawful, and you may have it tested at an AHC.

How do I verify a HUID?

Enter it in the BIS Care app to see the purity and jeweller details.

My town is not notified. Can I still insist on hallmarked gold?

Yes. It is optional there, but you can ask for hallmarked pieces and refuse otherwise.

Does hallmarking fix the price?

No. Metal rates and making charges are separate, so compare bills carefully.

Does a jeweller pay to hallmark?

Yes. A small per-piece testing fee applies and is usually passed on to buyers.

Also Read:

Home Loan Tax Benefits Under Income Tax Act 2025

Leave a Comment

Your email address will not be published. Required fields are marked *