Page 10 - Bollion World Volume 4 Issue 8 August 2024

P. 10

BW: Sir, let’s begin with your views on the Union stamp on every piece of metal, whether bullion, coins, or
Budget 2024 jewellery. This should be mandatory for the B2C segment
as a whole," he asserted. He elaborated that such
Mr Prithviraj Kothari highlighted the industry's long- measures would ensure the authenticity and purity of
awaited expectations from the government. "To be the metals, protect consumers from fraud, and promote
honest, duty cut was expected for quite a while. We confidence in the market. The hallmarking requirement
have anticipated a significant cut in duty rates for gold is expected to standardize the quality of bullion products
and silver. Overall, the decision made by the Finance and reduce discrepancies in the market, leading to a
Minister is positive for the bullion sector and will benefit more organized and reliable industry.
the industry in the long term." He elaborated that the
reduction in duty rates was a necessary step to boost BW: Gold and silver prices hit all-time high
the industry, fostering a more transparent and regulated recently. Where do you expect price to go from
market. The reduction in import duty on gold and here?
silver is seen as a crucial move to curb smuggling and
promote legal imports, which will ultimately benefit both Providing his outlook on gold and silver prices, Mr
consumers and the industry by providing a stable and Prithviraj Kothari noted, "Recently, gold has reached
fair pricing environment. new highs in the international markets. I expect the
coming quarter to be bearish for gold, with at least an
BW: Congratulations on being re-elected as 8-10% drop in prices. In the Indian market, the upper
National President of IBJA for 2024-2029. Please limit for gold would be ₹80,000, and the downside
share some of the programmes planned? could be around ₹62,000." He explained that the
recent surge in gold prices was driven by various global
Discussing the future plans of IBJA, Mr Prithviraj Kothari factors, including economic uncertainty and geopolitical
revealed several ambitious initiatives aimed at enhancing tensions.
the organization's role and services for its members.
"We have laid out many different plans. One major However, he anticipates a correction in the near term
objective is to become a nominated agency. That would as the market stabilizes. "Silver, on the other hand, is
allow us to directly import metal for our members, thus poised to be more bullish than gold. While there may
eliminating the need for our members to seek alternative be a correction to the ₹77,000 level in the short term,
methods for procuring metals," he explained. This move the long-term outlook remains very bullish, with prices
is expected to streamline the procurement process, potentially soaring up to ₹100,000 per kilogram," he
reduce costs, and ensure the quality and authenticity of added. Mr Prithviraj Kothari emphasized that silver's
the metals imported. industrial demand, coupled with investment demand
would drive its prices higher over time, making it a
Furthermore, Mr Prithviraj Kothari introduced the 'IBJA lucrative investment option.
Verified' initiative, designed to bring in trust among
jewellers and consumers. "This program will include a
credit rating for every verified member, conducted by a
third-party audit firm before on boarding the business
into the program," he said. The IBJA Verified initiative
aims to enhance transparency and accountability within
the industry, ensuring that consumers receive genuine
products and services from reputable jewellers.

BW: Government is finalising regulatons on
Compulsory Hallmarking of Bullion Bars. What is
your view on the subject?

On the topic of compulsory hallmarking, Mr Prithviraj
Kothari stressed the necessity of certification for all
bullion-based products sold over the counter. "All
bullion products, regardless of their form, should be
compulsorily hallmarked. There must be NABL or BIS
certification for all counter sales, ensuring a purity

10
10
10

5 6 7 8 9 10 11 12 13 14 15