In force Last amended 3/4/1446 AH
Saudi Precious Metals and Gemstones Law
نظام المعادن الثمينة والأحجار الكريمة
Regulates the trade, manufacture and hallmarking of precious metals and gemstones in Saudi Arabia. It has 22 articles and concerns jewelers, traders, manufacturers and buyers.
- Articles
- 22
- In force
- 22
- Amended
- 9
- Issued
- 10/7/1403 AH
Issued by: مرسوم ملكي رقم م/42 بتاريخ 10 / 7 / 1403 · قرار مجلس الوزراء رقم 151 بتاريخ 14 / 6 / 1403
Each article shows the official Arabic text, which is the only legally binding version, followed by our plain-English explanation.
Browse Precious Metals and Gemstones Law by topic
Supervision of Precious Metals2 articlesLicensing Gold and Jewelry Trade and Manufacture2 articlesHallmarking Precious Metals and Karats7 articlesPlated and Imported Items3 articlesSelling Gemstones and Jewelry Exhibitions2 articlesInspection and Recording of Precious Metals Violations2 articlesPenalties for Gold and Jewelry Fraud6 articlesAdjudicating Precious Metals Violations2 articles
Articles of the Saudi Precious Metals and Gemstones Law
- Article 1The article divides supervision of the precious metals and gemstones sector: the Ministry of Industry and Mineral Resources for manufacturing, and the Ministry of Commerce for trade, as the regulations specify.Amended M/87
- Article 2The article prohibits manufacturing precious metals and gemstones without a license from the Ministry of Industry and Mineral Resources, and refers to the regulations the setting of the fees for licenses and services.Amended M/87
- Article 3The article prohibits selling, displaying or possessing for sale items plated with precious metals, or below the minimum legal karat standards, except in accordance with instructions issued by decision of the Minister of Commerce.
- Article 4The article prohibits selling, displaying or possessing for sale bars and articles of precious metals unless they are stamped with the Kingdom's hallmark.
- Article 5The article requires customs or the post, after notifying the person concerned, to send parcels imported for trade that contain precious metals to the Ministry of Commerce for examination and hallmarking, or to confirm they bear a recognized hallmark.
- Article 6The article requires bars and articles to be presented to the Ministry of Commerce for examination and hallmarking by the legal karat standards, and provides that those below the minimum are broken and returned to the owner, who may re-export imported ones.
- Article 7The article prohibits making any change to precious metal bars or articles after they are hallmarked because of preparing them for sale, except what the necessities of the craft require and in accordance with the Ministry of Commerce's instructions.
- Article 8The article prohibits selling, displaying or possessing for sale articles and coated, inlaid or plated items unless hallmarked in the way set for each type, or accompanied by a details card where hallmarking is impossible.
- Article 9The article permits the Ministry of Commerce to issue a decision recognizing the hallmark of a country.
- Article 10The article permits the Ministry of Commerce, in agreement with the Ministry of Industry and Mineral Resources, to require precious metal factories and workshops to use hallmark marks that distinguish their articles and are registered as the regulations specify.Amended M/87
- Article 11The article prohibits selling, displaying or possessing for sale gemstones unless accompanied by a written declaration from the person concerned stating the stone's name, type, weight, color, quality and defects.
- Article 12The article permits holding exhibitions of precious metal articles and gemstones under a license from the General Authority for Exhibitions and Conferences in coordination with the Ministry of Commerce, and exempting exhibits from hallmarking where the intention is display only.Amended M/87
- Article 13The article assigns detecting, investigating and proving violations of the Law to employees named by the Minister of Commerce in agreement with the Minister of Industry, and gives them the right to enter, inspect and take samples, with a seizure report.Amended M/87
- Article 14The article punishes with up to two years in prison and a fine of up to SAR 400,000, or either, fraud in precious metals and gemstones, altering hallmarked items and selling unhallmarked ones, with suspension of the license and closure on repeat offenses.
- Article 15The article punishes with imprisonment of up to six months and a fine of up to SAR 90,000, or either, anyone who manufactures precious metals, their articles or gemstones without a license.Amended
- Article 16The article punishes with imprisonment of up to two months and a fine of up to SAR 30,000, or either, anyone who prevents, or causes the prevention of, the competent employees overseeing the Law from carrying out their duties.
- Article 17The article punishes with a fine of up to SAR 200,000 anyone who commits another violation of the provisions of the Precious Metals and Gemstones Law and its regulations.
- Article 18The article provides that the penalties in the Precious Metals Law do not prevent penalties under other laws and do not affect the injured party's right to obtain compensation.
- Article 19The article permits the judgment or decision imposing a penalty to order publication of its operative part at the violator's expense in a local newspaper or other suitable means, once it becomes final or unchallengeable.Amended M/87
- Article 20The article allocates jurisdiction: the competent court and Public Prosecution for violations of Articles 14, 15 and 16, and a committee formed by the Minister of Commerce in agreement with the Minister of Industry for the other violations, with its decisions open to challenge before the court.Amended M/87
- Article 21The article assigns the issuing of the regulations and decisions needed to implement the Precious Metals and Gemstones Law to the Minister of Commerce in agreement with the Minister of Industry and Mineral Resources.Amended M/87
- Article 22The article repeals the Goldsmiths Law issued by Royal Order No. 8117 dated 28/6/1360 AH and everything that conflicts with the Law, and provides that the Law takes effect 90 days after its Implementing Regulations are published.