AP gold traders to observe hallmark bandh tomorrow

Vijayawada: Gold and jewellery traders will observe bandh in the State on August 23 opposing the orders of the Union government, which instructed the gold traders to register their names with the Bureau of Indian Standards and sell the hallmarked gold articles only.

Gold and jewellery traders whose turnover is more than Rs 40 lakh will come under the purview of the hallmark rule. The gold traders must make it hallmarked at the Recognised Assaying and Hallmarking centres, which are mainly located in the cities and towns. The gold traders are saying that they had been struggling due to the Covid pandemic and they need some more time to follow the hallmark rule.

Kona Srihari Satyanarayana, joint secretary, the Bezawada Jewellers' and Bullian Merchants' Association, said the gold traders will observe bandh in Vijayawada and close the shops on August 23 protesting against the orders of the Union government.

The government is not insisting on the hallmark at present. But, in future there is a possibility that the government may put pressure on the traders to sell only hallmark gold items.

The gold and jewellery business is badly affected for more than one-and-a-half year due to Covid. Except the corporates, small and medium traders are struggling to run the business. Payment of rents, electrical bills and other day-to-day maintenance expenses has become very difficult for the traders.

In this backdrop, the Central government is asking the traders to register the shops names with the BIS and sell only the hallmarked gold articles.

Hallmark jewellery is in practice for more than 10 years. But, the Union government has made mandatory from July 1, 2021 and has given time till the end of August/ September to register their names with the BIS.

Registering the name with BIS is also expensive and costs several thousand rupees. The gold traders are saying that they are already struggling due to Covid pandemic and drastic fall of business and should be given more time.

The traders will have to pay gold quality testing charges to the hall marking testing centres. It is estimated that more than 5,000 gold jewellers in Andhra Pradesh have to register their names with the BIS.

Though the hallmark is beneficial to the customers as it increases transparency of the quality but present scenario is not conducive to implement the hallmark rule, felt most gold traders.