How to apply for your jewellers permit

Please note that CPM cannot undertake applications or application renewals on behalf of our clients, but there are consultants listed at the end of this article who can be of service to you.

What we are able to assist jewellers with is a “Letter of Trade” which is necessary to submit with your applications. Please contact your Sales Executive for this.

A reminder that you will need to show that you are disposing of your waste correctly. You can obtain this proof via a letter from your waste management company. CPM can recommend EnviroServe or Waste Man.

As many of you are aware, a high court judgement in 2021 in favour of a local manufacturing jeweller set aside certain clauses of the Mining Charter. Unfortunately, now in August 2023, the DMRE has still to this date not published any notices outlining which clauses have been amended. As such, South African manufacturing jewellers remain obliged to comply with the current license application requirements.

The below helpful tips and hints are based on a press release from the Jewellery Council of South Africa from early 2021, a simplified list of license application requirements, which the Council requested from the South African Diamonds and Precious Metals Regulator earlier in 2023, as well as feedback from CPM clients in the last two years. We hope this will ease the process of obtaining your jeweller’s permit, and provide you with a checklist of the documentation needed for your application.

TIPS WE’VE LEARNT:

  • Give yourself at least a couple months before application to renew your police clearance and ensure your Tax Clearance is up to date.
  • Please note that the proof of police clearance application is not enough, and will not be accepted by the Regulator.
  • Apply for your jewellers permit using the address of your workshop and not your retail shop (if this is not the same address). Using your retail shop’s address rather than your workshop’s address will lead to further delays and frustration.

ASCERTAINING YOUR COMPLIANCE LEVEL:
It’s important to note the threshold within which your company falls, in order to establish your compliance level. Refer to page 29 of the digital PDF version of the Mining Charter/ Government Gazette 2018 (link to download here). Compliance requirements are as summarised below:

MICRO ENTERPRISES are defined as a company with an estimated maximum turnover of less than R1 million. Students are also included in this category.

Micro Enterprises are exempt from all the Mining Charter elements. You cannot be forced to comply with any of the pillars and if you are, please advise the Jewellery Council who will assist their members.

SMALL ENTERPRISES are defined by a maximum turnover of between R1 million to R50 million.
If you fall into this category, you will be required to comply with the following Targets:

  • Ownership: minimum of 26% shareholding for Historically Disadvantaged Persons (See page 31 [35] of the Mining Charter). This 26% BEE shareholding must be distributed in the manner prescribed:
    • 5.1.2.1: A minimum of 10 %, of which 5% is a non-transferable carried interest, to qualifying employees from the effective date of a licence or permit.
    • 5.1.2.2: A minimum of 16% shares to a BEE entrepreneur.

This page also details the stipulations for diamond dealers and precious metals refiners.

  • Human Resources Development Element: Described as HRD expenditure as a percentage of total annual leviable amount (excl. mandatory skills development levy).
    • The compliance target is 5% of the leviable amount
    • Measure: Invest 5% of the leviable amount as defined in the HRD element in proportion to applicable demographics (employees and non -employees)
    • Weight: 30%

See page 42 of the PDF / 46 of the Government Gazette for this table outlining these compliance targets, weights and measures.

  • Employment Equity Element – if you have more 10 or more employees. See pages 40&41 of the PDF / pages 44&45 of the Government Gazette in which the Mining Charter was published for this tables outlining compliance targets broken down by race for board members, executive, senior, middle and junior management and employees with core critical skills. Representation of females are also noted, as well as employees with disabilities.

Small Enterprises are exempt from: 

  • Socio Economic Development Element
  • Inclusive Procurement, Supplier and Enterprise Development Element
  • Employment Equity Element (if you have less than 10 employees)


Medium to large Enterprises with a maximum turnover greater than R50 million are required to comply with all elements. See page 31 [35] of the Mining Charter onwards for the stipulations that must be complied with. 

For further explanations in the Mining Charter Guidelines published by the DMR, see:

  • Pages 5-13 of the PDF (published pages 9-17) for the Ownership Element
  • Pages 14-34 of the PDF (published pages 18-38) Procurement, Supplier and Enterprise Development Element, reporting templates and weighted scorecards
  • Pages 35-37 of the PDF (published pages 39-41) for the Human Resources Development Element
  • Pages 45-47 of the PDF (published pages 49-51) for the Employment Equity Element
  • Pages 51-52 of the PDF (published pages 55-56) for the Socio Economic Development Element

The Jewellery Council have provided Jewellers Permit Renewal Guidelines as below:

  • Covering letter from SADPMR
  • Application for Jewellers’ Permit Renewal
  • Attachments required to include with Application
  • Cost of application
  • Thresholds
  • Business Plan Template (download separately)

The Application form is available on this link:
https://www.sadpmr.co.za/upload/Form%20PMJ%20(09102019).pdf


SADPMR LICENSE AND PERMIT APPLICATION REQUIREMENTS, SIMPLIFIED:

  1. Company registration documents means: registration documents issued by CIPC when registering a company. When applying in a CC or Co. all the members or directors’ identity documents and police clearances are required.
  2. Company resolution means: a resolution stating the person acting in representative capacity for the organisation (this is mandatory even if you are the only member of the organisation).
  3. Technical ability means:
  • Certification in cutting and polishing of rough diamonds
  • Or experience in the Jewellery manufacturing and refining fields
  • Or a degree/diploma
  • Or submission of previous SARS permit
  • Or previous precious metals/diamond license
  • Or a reference letter from previous employer or if the person is not a member or director of the organisation we will need a signed employment contract
  1. Financial ability means: A bank statement or letter from the bank indicating that you have a bank account.
  2. A business plan means: a template of your business plan detailing manufacturing ability and growth
  3. Documentary proof of premises means: Utility bill of the premises owned by the organisation, or a lease agreement if renting. The nature of business must be included in the leases; one year at a time and must indicate “renewable”.
  4. Compliance with NEMA (National Environment Management Act) means: listing of chemicals that will be used in the manufacturing of jewellery and how you dispose of the chemicals once used.

Refiners must consult the local municipality to obtain a letter of no objection and apply for an air emission license.

  1. Tax clearance certificate means: You apply at your local SARS office, valid for one year only.
  2. Original police clearance means: Apply at any local police station. Cost is R160 each and takes up to 3 months, depending on the SAPS office submitting timeously to CRC in Pretoria. Outlying areas tend to take longer.
  3. Prescribed non-refundable fee means: the application fee for the type of permit or license you intend applying for.

All copies must be recently certified (valid within 3 three months period from date of certification).

Members are welcome to contact the JCSA to obtain renewal application forms for Jewellers’ Permits, Refining Licenses and Precious Metals Beneficiations Licenses.

The forms are  available for download directly from the SADPMR website:
http://www.sadpmr.co.za/pages/document-library/licenses-and-permits

Members who have any questions or queries regarding the above should contact the Council on:

Tel: (011) 484 5528
Email: admin@jewellery.org.za

JCSA membership has a range of benefits including discounts and preferential rates for certain card transactions, participation in promotional and advertising campaigns and exposure on their website and at exhibitions like Jewellex Africa, mediation and arbitration services, information relating to industry opportunities, news, competitions and guidance on legislation, and so much more. Download your application form here.

Not a member?  Admin is probably the least favourite activity in our industry, and navigating the regulations, paperwork and submission process is nobody’s idea of fun. Why not get help from a professional?

Please contact them directly for further info:

Please note the details of the consultants above are provided for your convenience as a helpful FYI. CPM is not affiliated with their services in any way.