BAJUS rolls out new jewellery guidelines to reshape jewellery trading landscape in Bangladesh

BAJUS introduces comprehensive regulations, including mandatory hallmarking, restrictions on traditional ornaments, and standardized pricing, reshaping the jewellery trading landscape in Bangladesh.

The Bangladesh Jewellers’ Association (BAJUS) has imposed a complete prohibition on the manufacture and sale of traditional gold and silver ornaments. The association said only 18, 21, 22, and 24-carat ornaments crafted using the cadmium method will be permitted for production and sale.

BAJUS has also stipulated that traditional gold and silver ornaments can now only be acquired by jewellers directly from buyers.

In its latest ‘Jewellery Buying, Selling, and Marketing Guidelines-2023’ aimed at maintaining standards and ensuring standardised pricing, BAJUS has made hall-marking mandatory for all ornaments.

This hallmark engraved on the ornament using laser technology will include key details such as the gold’s quality.

Although formulated last month, BAJUS officially released the guidelines on Thursday, signifying a significant shift in the jewellery trading landscape in Bangladesh.

In case of replacing gold ornaments, jewellery companies will adjust the price of new ornaments by deducting 10 per cent from the current weight. When purchasing old ornaments from the buyer, jewellers will pay the market price by deducting 20 per cent from the current weight of the ornaments.

Besides, the guidelines stipulate that a minimum of Tk 300 per gram making charge should be taken from the buyer during the sale of gold ornaments. Violation of this will result in a fine of at least Tk 25,000 for the trader.

If the instruction is violated for the second time, the association will issue a notice to the concerned shop, questioning why its membership should not be cancelled. If the response is unsatisfactory, BAJUS will take appropriate action in accordance with its organisational laws.

All member showrooms of the jewellers’ association must prominently display the sticker and updated certificate of BAJUS at their sales points.

When purchasing old gold ornaments, the jewellery showroom must issue a receipt to the seller, including the seller’s name, address, mobile number and national identity card information.

The jewellery shop is also required to keep a photocopy of the seller’s national identity card. It is strictly prohibited to purchase old ornaments from any representative other than the original owner.

For gold and ornaments brought under the Baggage Rules, the showroom must take a photocopy of the seller’s national identity card. The original certificate of tax payment for gold and ornaments brought under the Baggage Rules should be retained at the airport. Gold must be purchased directly from the real owner.

Meanwhile, in the case of exchanging silver ornaments, jewellers will adjust the price of new ornaments by deducting 30 per cent from the current weight. When buying old ornaments from the buyer, jewellers will pay the market price after deducting 40 per cent from the current weight of the ornaments.

On the other hand, during the sale of new silver ornaments, buyers will have to pay a minimum of Tk 26 per gram making charge.

Currently, traders offer various discounts on the sale of diamond jewellery. However, according to the new guidelines set by the association, the maximum discount allowed on diamond ornaments is 25 per cent. Any jewellery shop that violates this rule will be subject to a fine of Tk 500,000.

Besides, in the case of replacing diamond ornaments, the jewellery trader will determine the price by deducting 15 per cent from the current weight. When purchasing old diamond ornaments from the buyer, the deduction will be 25 per cent from the current weight.

For all diamond ornaments above 50 cents, the trader must provide a mandatory certificate. Besides, the cash memo for the sale of diamond ornaments should include details such as the colour and carat of the diamonds.

Courtesy: The Financial Express