The festive season is in full swing, with lakhs of Indians buying gold on Dhanteras and Diwali. Consumers are buying gold jewellery prior to the wedding season as well, since it is soon to kick in too. Dhanteras and Diwali are considered auspicious occasions to buy gold.
According to trading bodies, Indians have already purchased gold worth ₹60,000 crore on the occasion of Dhanteras. Jewellers are expecting this number to increase even as volume dipped this year on Dhanteras due to a surge in gold prices, which reached a peak of ₹1,32,000 for 10 grams. However, the steep increase in gold price during Dhanteras has prompted the record amount of purchase.
In India, consumers usually invest in physical gold, like jewellery, coins, or bars. However, as prices surged this year, people are also buying impure gold, like 9 karat gold.
The impurities in gold in order to follow sustainable pricing has left buyers confused about the purity of gold jewellery. The purity of gold is usually checked through hallmarking.
Here is how to check the purity of your gold and the hallmark before buying.
- Electronic testing: Electronic testers are easy-to-use tools that can determine gold purity by checking its conductivity. They send an electric charge to gold items matching the resistance to gold, like 14K or 18K.
- Fire Assay Method: This is the most reliable form of testing gold. The method involved melting down the gold and analysing its content. While it is highly accurate, the fire assay method destroys a little amount of gold.
What is hallmark?
Hallmarking is the accurate determination and official recording of the proportionate content of precious metal in a precious metal article. In India, the BIS certifies hallmarked gold.
How to check hallmark?
There are several components in the hallmark that you need to check before you buy gold on Dhanteras or Diwali.
First, check if your gold jewellery or article has the BIS logo.
Next to the BIS logo, there will be the purity in karat and fineness mark like 22k or 18k to help buyers easily figure out the purity of the metal.
Next to it is the logo or number of the assaying or hallmarking centre, so that buyers can later authenticate the validity of the hallmark.
The last sign to look for is the jeweller’s mark or number that is registered with the BIS.
In the newer format, customers can check the BIS logo, the purity mark and a six-digit number, which is the Hallmark Unique Identification Number (HUID).
