Industry body Assocham has recommended setting up of 50 hallmarking centres in the country to check sales of gold jewellery with high levels of impurities.
Due to the increased demand for gold jewellery during the festive season, jewellers are adding as much as 13.44-44.66 per cent impurities to the metal to maximise profits, Assocham said in a release.
The chamber had tested 162 samples obtained from 16 major cities of the country, out of which 147 (90.7 per cent) were found to contain impurities, the release said.
Jewellers use low carat gold in soldering, which results in a high level of impurities in the final product, it said.
"The traditional handcrafted pieces in 22 carat contain many joints and the use of solder alloys of a much lower caratage leads to serious levels of under-carating," the chamber said.
The gold hallmarking campaign being undertaken by various government and non-government agencies has made little impact and jewellery buyers simply buy the gold in traditional form without insisting on hallmarking.