GJC seeks review of 67% hike in gold hallmarking fee
GJC said it supports mandatory hallmarking for purity assurance and consumer protection but calls for a transparent cost assessment and stakeholder consultation due to rising costs
The All India Gem and Jewellery Domestic Council (GJC) has called for a review of the proposed 67% increase in gold hallmarking fees from ₹45 to ₹75 per article. The council argues that the significant hike will raise compliance costs for jewellers without addressing ongoing concerns over fake hallmarking and unauthorized operators.
The increase was notified on September 14, 2023. The GJC supports mandatory hallmarking as a vital mechanism for ensuring purity, transparency, and consumer protection. However, it contends that the substantial fee increase warrants a transparent assessment of costs and consultation with industry stakeholders. Government data shows over 60 crore gold articles were hallmarked with a Hallmark Unique Identification (HUID) number between July 1, 2021, and March 5, 2026, with mandatory hallmarking expanding to 380 districts by March 2026.
The council questions the need for such a steep increase given the potential economies of scale and capacity utilization at hallmarking centers. It also flags aggressive discounting, commercial inducements, and unhealthy competition among service providers seeking hallmarking volumes. The council emphasizes that the ₹45 charge may not be uniformly realized in the market and that a higher fee may not resolve underlying viability and governance issues.
Instead, it suggests prioritizing enforcement against fake and unauthorized hallmarking. Rajesh Rokde, GJC Chairman, stresses that support for hallmarking does not mean accepting a nearly 67% increase in compliance costs without examination. The impact of the fee hike would be particularly pronounced on lightweight jewelry, as the charge is per article regardless of weight.
A ₹75 charge would represent a significantly higher proportion of the value of a lightweight piece compared to a heavier one. The GJC has requested a comprehensive cost study, examination of actual charges and incentives by Assay & Hallmarking Centres (AHCs), stronger enforcement against fake hallmarking, and consultation with jewellers, manufacturers, and AHCs.
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