Archive · 17 Sep 2026
Jewellery stocks fall as hallmarking fees, UPI costs rise
Jewellery company shares moved lower after two developments worried investors.
The Bureau of Indian Standards increased the fee charged for checking gold purity and adding a hallmark.
The fee will rise from Rs 45 to Rs 75 for each gold article.
A jewellery retailers’ representative also said a possible UPI transaction fee could increase business costs.
Retailers already pay taxes, banking charges, security costs and employee expenses.
Several jewellery stocks fell during early trading.
Some shares, including Senco Gold and Goldiam International, recovered and finished higher.
The market reaction was mixed rather than uniformly negative.
Bureau of Indian Standards raised the gold hallmarking fee from Rs 45 to Rs 75 per article, effective September 14, 2026.
Jewellery retailers said a possible UPI merchant discount rate could add to existing GST, compliance, banking, security and employee costs.
PC Jeweller, Titan Company and Thangamayil Jewellery closed lower, while Kalyan Jewellers ended flat.
PC Jeweller shares fell as much as 8% in early trading before closing 2.37% lower at Rs 12.36.
Senco Gold and Goldiam International initially declined but closed higher, gaining 3.43% and 1.20%, respectively.
- Who
- Listed jewellery companies including PC Jeweller, Kalyan Jewellers, Titan Company, Thangamayil Jewellery, Senco Gold and Goldiam International, along with jewellery retailers represented by the Kerala Gold and Silver Merchants Association.
- What
- Jewellery stocks reacted to a 67% increase in gold hallmarking fees and concerns that a possible UPI merchant discount rate could raise operating costs.
- When
- The developments were reported during the current session and early trading on Wednesday; the new hallmarking rates take effect on September 14, 2026.
- Where
- The report concerns India's jewellery market and listed companies trading in India.
- Why
- Investors were concerned that higher hallmarking charges and potential UPI transaction fees could increase costs for jewellery businesses.
Retailer cost concerns
Regulatory fee increase
Impact of additional charges
Retailer cost concerns
S. Abdul Nazar of the Kerala Gold and Silver Merchants Association said jewellery retailers already face GST, hallmarking and HUID charges, banking fees, security expenses and employee costs. He said a possible UPI merchant discount rate could increase the burden, especially for small and medium-sized businesses.
Regulatory fee increase
The Bureau of Indian Standards has raised the gold hallmarking fee to Rs 75 per article and set a Rs 200 minimum charge for gold consignments. The report gives no stated explanation from the Bureau for the increase.
Stock-market reaction
Retailer cost concerns
Several jewellery shares declined in early trading, reflecting investor concern about higher sector costs.
Regulatory fee increase
The reaction was mixed by the close: Senco Gold and Goldiam International ended higher, while Kalyan Jewellers finished flat.
- Hallmarking fee
- Raised from Rs 45 to Rs 75 per gold article, a 67% increase.
- Effective date
- September 14, 2026.
- Minimum consignment charge
- Rs 200 for gold consignments.
- PC Jeweller close
- Rs 12.36, down 2.37%.
- Titan Company close
- Rs 4,859, down 1.14%.
- Thangamayil Jewellery close
- Rs 4,820, down 2.37%.
- Senco Gold close
- Rs 343.50, up 3.43%.