The Indian government is evaluating the implementation of mandatory hallmarking for gold bullion to safeguard consumer interests and maintain quality across the gold supply chain, said Consumer Affairs Secretary Nidhi Khare at a recent industry conference on gems and jewelry.

This move builds on the success of mandatory hallmarking for gold jewelry and artifacts, introduced on June 23, 2021. Since then, over 40 crore gold jewelry items have been hallmarked with a unique Hallmark Unique Identification (HUID) number.

Khare emphasized the need for quality assurance in gold imports, saying, “The whole idea is that while jewelers are actually importing gold, many times, they themselves are not sure about the quality of gold that they are receiving or they are buying. So I think the entire value chain needs to be identified for its correctness, for its accuracy, for honesty and truthfulness.”

In addition, the government is formulating guidelines for lab-grown diamonds to protect consumers purchasing natural diamonds, as demand for lab-grown options continues to rise.

Highlighting the sector’s importance, Khare projected the Indian gems and jewelry market size to grow from $44 billion in 2023 to $134 billion by 2030. She also noted its significant contribution to exports and employment, making India the world’s second-largest gold exporter. “The government of India recognizes the potential of this sector and has also designated it as a priority area for export promotion,” Khare said.

Since the introduction of mandatory hallmarking, the number of registered jewelers has increased to approximately 1.95 lakh, and there are now over 1,600 Assaying and Hallmarking Centers (AHCs) across the country.

Khare encouraged the industry to enhance the global presence of Indian jewelry. Supporting this initiative, Gems and Jewellery Export Promotion Council Executive Director Sabyasachi Ray advocated mandatory hallmarking for gold bullion to ensure the quality of raw materials.