IBJA seeks up to 1% jeweller incentive in revamped gold monetisation plan
The India Bullion and Jewellers Association has proposed a 0.75%-1% commission for jewellers collecting customer gold for refiners under a revamped Gold Monetisation Scheme. Senco Gold & Diamonds says the move could lift customer engagement and festive-season footfall, though rollout timing is uncertain.
What happened
India Bullion and Jewellers Association (IBJA) · IBJA has proposed a revamped Gold Monetisation Scheme that would pay jewellers 0.75%-1% for collecting customer
Key facts
- 0.75%-1% proposed incentive/commission for jewellers
- Nearly 30,000 tonnes of gold estimated to be idle in Indian households
- Gold Monetisation Scheme launched in 2015
- Only 1-3 year Short-Term Bank Deposit option remains available since March 26, 2025
- 10 grams minimum deposit
Why this matters
Organised chains should assess refiner partnerships, collection workflows and customer exchange propositions now to capture first-mover advantage if the Gold Monetisation Scheme is revised.
What to watch
- Finance Ministry/RBI notification on the revamped Gold Monetisation Scheme and final jeweller commission rate.
- Eligibility rules for jewellers, KYC requirements, gold purity thresholds and whether collection must route through designated refiners or banks.
- Announcement of participating refiners, banks and assay infrastructure.
- Festive-season marketing launches or gold-collection pilots by large organised chains.
- Reported gold collection volumes, customer conversion rates and commission contribution in quarterly disclosures.
- Any change in gold prices, since elevated prices may increase customer willingness to monetise holdings but suppress incremental jewellery purchases.
- Map refiner, bank and assay-centre partnerships needed to offer end-to-end gold collection immediately after notification.
- Design store-level campaigns that pair gold-deposit consultations with exchange, repair, remodelling and wedding-jewellery offers.
- Train frontline staff on KYC, purity testing, customer disclosures and tax/accounting treatment to avoid trust or compliance failures.
- Model unit economics by gold volume, commission rate, testing cost, branch format and likely conversion into retail sales.
- Prioritise high-trust urban and affluent catchments, where households are more likely to hold idle gold and use formal channels.