How to Establish BIS Assaying and Hallmarking Centre?

BIS Assaying and Hallmarking
krishna kumar
| Updated: Jul 02, 2022 | Category: BIS

BIS Assaying and Hallmarking Centres (AHCs) test pieces of jewellery separately to ensure that basic standards are followed in their manufacturing and that the hallmarked products contain the assured gold or silver cartage. AHCs will ensure the purity of gold jewellery of 22K, 18K, and 14K, 6 grades for silver jewellery, gold coin and medallions of 24K. Only when A&H Centres assays the article and assigns a Hallmark can it be taken to be of certified purity.

Which cannot test Articles of Jewellery at BIS Assaying and Hallmarking Centres?

Following are some Exceptions for Assaying and Hallmarking Centres from hallmarking some valuable Articles:

  • Articles weighing less than 2g;
  • Any article for export which obeys any specifications required by the foreign buyers;
  • Jewellers with an annual turnover of not more than Rs. 40 lakhs every year;
  • Jewellers using Polki, Jadaau, and Kundan’s approach are exempt from hallmarking.

Essential Documents Need for the Recognition of BIS Assaying and Hallmarking Centres

These are some necessary documents required for the approved BIS assaying and hallmarking centres:

  • Proof of Establishment of the Company or Firm
  1. Certificate of Registration (CoR) grant by Registrar of Companies along with Memorandum of Association (MoA);
  2. Submit Registration Partnership Deed, if the Partnership Firm;
  3. Original Certificate from a Chartered Accountant (CA[1]) if the applicant is a Proprietorship Firm.
  • Proof of Address of Firm
  1. Income Tax Assessment Order;
  2. GST Registration Certificate;
  3. Sale/Lease Deed Agreement;
  4. Registration with State Government Department or Trade Licenses;
  5. Property tax receipt;
  6. Rent Agreement.
  • Applicant Identity Proof
  1. Aadhar-based verification or e-signature;
  2. Self-certified copy of Aadhar Card/voter ID/ Driving License/ Passport/PAN Card or ID Certificate along with photograph grant by Gazetted Officer.
  • Affidavit cum undertaking.
  • Map the location of the property from the nearest landmark.
  • Quality manual of the A&H Centres prepared based on Generic Quality Manual provided by BIS.

Procedure for obtaining BIS Assaying and Hallmarking Centre

  1. Primary, you require to file the application form online
  2. Submit all the required documents
  3. After submitting all the documents & applications, then they will go for the inspection by BIS;
  4. BIS officials will inquiry of application and examine all the documents;
  5. If the officials are satisfied with the application and all documents according to the prescribed format, they will issue the BIS Assaying and Hallmarking Centre.

Guideline for Setting up On-Site Centre by the BIS Assaying and Hallmarking Centre

These are some essential guidelines for setting up On-Site Centre (OSC) by the BIS recognised Assaying and Hallmarking Centre:

  1. An AHC can set up an On-Site Centre in any district subject to the norms and conditions that one A&H Centre cannot have more than 5 On-Site Centre attached to it, and the distance of an On-Site Centre cannot be more than 100Km from the parent Assaying and Hallmarking Centre. AHCs hallmarking a minimum of 500 articles every day on an average shall be obliged to establish an OSC or A&H Centre in one uncovered district;
  2. An On-Site Centre shall have all the resources as in an AHC except the help required for fire assay & will perform all the A&H Centre functions as set up under BIS for the hallmarking of gold and silver jewellery except fire assay;
  3. It will be the liability of the parent AHC to perform the fire assay of the jewellery received at an On-Sire Centre;
  4. After making all the vital arrangements, the Assaying and Hallmarking Centre may apply to the Regional Office of BIS for the authorisation for off-site workings with complete details as required for an A&H Centre, along with the details of the methodology for the remit of samples from the On-Site Centre to the parent AHC the gain of Assay Test Report and remnants of testing by the OSC from there;
  5. The A&H Centre shall be essential to apply in the format & through the portal as a command by the Bureau;
  6. On-Site Centre will have testing personnel containing a Quality Manager, as required for A&H Centre, except the personnel necessary for the fire assay procedure. The Manager of the parent AHC shall, however, the overall quality in charge of both On-Site Centre and AHC;
  7. If an On-Site Centre is proposed in a region other than one in which the Assaying and Hallmarking Centre is located, it should apply to the Regional Office of Bureau, which has the regional jurisdiction over that AHC;
  8. On-Site Centre shall have all testing gears as required for AHC except the equipment required for the fire assay process;
  9. The Regional Officer of the Bureau must take the following steps after receipt of the application:
  • Verify the past performance of the AHC & its preparation in terms of workers & infrastructure for fire assay.
  • Dispose of the application within three days of the receipt of the audit report, subject to the applicant had taken necessary action as required by the audit report.
  • Organise audits at off-site and parent locations to verify arrangements as per the criteria set by the BIS for the recognition of Assaying and Hallmarking Centres.
  1. Bureau has the power to suspend & stop the operations of an On-Site Centre if it’s not found to be working correctly. However, the parent AHC shall be given an opportunity of being heard before the recognition of an On-Sire Centre is terminated;
  2. The AHC shall comprise the OSC-wise details in the report or return to be filed to the Bureau in the format laid down by the Bureau;
  3. There shall be no renewal fee for On-Site Centre, and its recognition shall stand renewed on the renewal of recognition of the parent Assaying and Hallmarking Centre;
  4. In case of de-recognition or suspension of parent AHC, the permission for all On-Site Centre operations shall also stand withdrawn automatically;
  5. The parent AHC shall be responsible for corrective action for the violation of norms & criteria for the hallmarking at an OSC as if the said violation had occurred at the parent AHC;
  6. No application fee/recognition fee will be required to be paid for an On-Site Centre.

Conclusion

Last year, by 31 December 2021, approximately 1.30 Lakh Jewellers had registered under BIS to sell Hallmarked Jewellery while maintaining the BIS Hallmarking Regulations. Currently, 1004 BIS Recognised Assaying & Hallmarking (A&H) Centres are available in India. Last year, 4.49 Crore Jewellery was hallmarked offline; physically and through the Automated Computerised Procedure introduced the previous year, 5.5 Crore Jewellery was Hallmarked.

Read our Article:What is the BIS Hallmark Registration Process in India?

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krishna kumar

Krishna Kumar has completed BA-LLB with a specialization in constitutional Laws from ICFAI University. As a recent graduate, He has both legal research and content writing experience in various law firms. He secures good drafting skills for various legal documents in multiple fields of law.

 

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