Obligatory hallmarking rule will disrupt the jewelry enterprise affecting livelihood of thousands and thousands, says jewelry affiliation

Ease of Doing Enterprise for MSMEs: The Central authorities had final yr issued an Order making it necessary for all gold articles which are offered to be hallmarked by June 2021. However the business is of the opinion that the implementation of the Order with out the suitable ecosystem will jeopardise the enterprise of jewellers placing their livelihood at stake, particularly these in rural markets.

One of many greatest issues raised by the business is the dearth of Assaying & Hallmarking (A&H) centres that consider the purity of the gold jewelry submitted by the licensed jeweller.

“What’s the hurry to make hallmarking necessary? 33% of the districts don’t even have Assaying & Hallmarking (A&H) centres to supply the third-party assurance. Think about a jeweller in a small village having to journey 300 kms with gold valuing lakhs of rupees to get it licensed risking theft and even his/her life,” stated Mumbai-based jeweller Ashok Minawala that runs showrooms underneath the model Danabhai Jewellers.

Danabhai’s questions are consultant of the whole business. Actually, the gems and jewelry business physique All India Gem & Jewelry Home Council (GJC) has written to the Division of Shopper Affairs underneath the Union Ministry of Shopper Affairs, Meals & Public Distribution requesting to postpone the deadline for implementation of necessary hallmarking of gold jewelry by a yr (presently it’s June 2021).

“Out of the 733 districts within the nation, solely 245 districts have A&H Centres as per BIS information whereas jewellers are in every district of the nation,” stated Ashish Pethe, Chairman, GJC. He added that it will likely be very tough to implement the regulation until there’s not less than one A&H Centre in every district within the nation.

“It’s important to have correctly accredited, totally useful A&H Centres in all districts throughout the nation, with correct infrastructure and educated personnel previous to the requirement of necessary hallmarking,” he stated.

In keeping with the Authorities order dated January 15, 2020 issued by the Bureau of Indian Commonplace (BIS) all gold articles are required to be hallmarked and offered solely by registered jewellers.

GJC stated that the share of districts in a number of key Indian States with out hallmarking centres may be very excessive. There isn’t a presence of Hallmarking Centres in 488 districts. 66.58% of the nation has no Hallmarking Centres. 245 districts have Hallmarking centres however they’re concentrated solely in and across the city space or clusters the place there’s heavy focus of jewellers.

“There are lots of states / Union Territories the place there aren’t any A&H Centres, i.e. Arunachal Pradesh, Ladakh, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Andaman & Nicobar Islands, Dadra & Nagar Haveli, Daman & Diu and Lakshadweep,” stated the affiliation’s assertion.

GJC is of the view that shortage of A&H Centres will result in jewellers closing their enterprise and unemployment can be on excessive rise. It’s an undisputed undeniable fact that any A&H Centre would require not less than three to 4 months to be commissioned. Contemplating the timelines for commissioning an A&H centre and the variety of such centres that will be required, it should be thought-about whether or not the June 1, 2021 timeline for necessary hallmarking is achievable.

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https://www.financialexpress.com/business/sme/mandatory-hallmarking-rule-will-disrupt-the-jewellery-business-affecting-livelihood-of-millions-says-jewellery-association/2236245/