Hallmarking of gold to be must in metros by 2008
Look hard before purchasing your gold jewellery this Diwali. Chances are nine out of ten that it would be impure. And if you are really unlucky, then almost half the metal used in your ”gold’’ ornament may not be yellow.
By Amiti Sen, TNN |
NEW DELHI: Look hard before purchasing your gold jewellery this Diwali. Chances are nine out of ten that it would be impure. And if you are really unlucky, then almost half the metal used in your ”gold’’ ornament may not be yellow.
To tackle the problem of increased adulteration which is a fall-out of the rising prices of gold, the government is planning to make hallmarking of gold—an official guarantee of purity—mandatory by 2008 at least in metro cities.
In order to create adequate infrastructure, the Centre is doling out one-time financial assistance for setting up hallmarking centres in 35 select districts.
As per a market survey carried out by the Bureau of Indian Standards (BIS) and Assocham in 16 cities this year, 90.7% of samples tested were found short in purity with average shortfall of 13.44% and highest shortage of 44.66%. In 2001, about 89.2% of samples tested were found impure and the level of impurity was much lower with an average shortfall of 11.1% and highest shortfall of 38.6%.
Speaking to ET, MMTC chairman and managing director Sanjiv Batra, who is part of the ministry of consumer affairs’ committee on gold, said, “The sharp rise in the price of gold is an important reason behind the increase in gold impurity”.
Mr Batra added that the process initiated by the consumer affairs to make hallmarking of gold mandatory would play an important role in checking adulteration.
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At present there are only 39 recognised hallmarking centres across the country including MMTC’s centre in the Capital.
“The consumer affairs ministry wants the number of such centres to go up before hallmarking is made mandatory. The idea is to enforce it in phases with the first phase covering metros and other identified districts where gold purchase is high,” Mr Batra said.
A scheme of setting up of assaying and hallmarking centres for gold jewellery in 35 select districts on a pilot basis with Central assistance of 15% of cost of machinery has been approved by the government. The scheme is subject to a cap of Rs 15 lakh per centre.
MMTC is in the process of setting up 10 new centres all over the country. Mr Batra said that while two centres in Ahmedabad and Jaipur will be operational before the end of the year, one centre in Kolkata will soon follow.
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