Who mints coins in India — and who controls their legal status?
Coins are minted by SPMCIL — the Security Printing and Minting Corporation of India Limited, a Government of India company under the Ministry of Finance. SPMCIL operates four mints: Mumbai, Hyderabad, Kolkata, and Noida. The Reserve Bank of India manages the distribution and circulation of coins but does not manufacture them. Legal tender status for coins is established by the Coinage Act 2011, not by the RBI.
SPMCIL — the minting authority
SPMCIL (Security Printing and Minting Corporation of India Limited) was incorporated in 2006 as a wholly government-owned company under the Ministry of Finance. It operates India's four coin mints and two currency note printing presses (Nashik and Dewas — the other two note presses at Mysore and Salboni are operated by BRBNML, another RBI subsidiary). SPMCIL also produces postal stationery, non-judicial stamp papers, and security documents.
The four SPMCIL coin mints are located in Mumbai (established 1829, the oldest), Hyderabad, Kolkata, and Noida. Each mint stamps its coins with a mint mark: Mumbai = a diamond or 'B'; Hyderabad = a star; Kolkata = no mint mark (blank below the year); Noida = a dot or small circle. These mint marks are a basic element of the DNA framework for coins — they identify the production location and are part of the coin's identifying characteristics.
RBI's role — distribution without production
The Reserve Bank of India receives coins from SPMCIL and distributes them to commercial banks through its currency chest system — the same system used for currency note distribution. RBI manages the supply of coins in the economy, monitors circulation, and issues advisories on coin shortages. But RBI does not manufacture coins and the legal tender status of coins is not established by the RBI Act — it is established by the Coinage Act 2011.
This institutional split has a practical implication for collectors: the RBI's counterfeit note detection framework does not directly apply to coins. The RBI Master Circular on Detection and Impoundment of Counterfeit Notes is specifically about notes. Counterfeit coins are a different matter — they are addressed through the BNS counterfeiting provisions which apply to both notes and coins.
SPMCIL's collector coin programme
SPMCIL issues commemorative coins specifically for collectors — including proof coins with mirror finishes, uncirculated sets, and special denomination commemorative issues. These are sold at prices substantially above face value and are intended for numismatic purposes. SPMCIL's invoices for these coins apply 5% GST under HSN 9705 (numismatic items) on the full transaction price — confirming the government's own treatment of collector coins as numismatic items priced at market value, not face value.
Laws & authorities referenced in this chapter
Coinage Act 2011 — §4 (legal tender status of coins established by the Act)
SPMCIL — Government of India company under Ministry of Finance; operates four mints
RBI Act 1934 — RBI distributes coins but does not issue or manufacture them
Coins minted by SPMCIL (four mints: Mumbai, Hyderabad, Kolkata, Noida). Mint marks identify production location. RBI distributes coins but does not manufacture them. Legal tender status = Coinage Act 2011, not RBI Act. SPMCIL's collector coin programme: proof coins at market prices with 5% GST on full transaction value — government's own confirmation that numismatic coins are collectibles priced above face value.
This is educational content, not legal advice. For a specific situation, please consult a qualified legal professional. Excerpted from Currency, Coins & The Law by Mayank Agarwal, Part 13: Coins & Counterfeiting — The Coinage Act Framework and the Law Against Fake Currency.