Bottled water: States crack down on 'dual' MRP policy of firms
NEW DELHI: As summer sets in, water bottling companies, beverage firms and sellers of packaged goods are facing the heat for their ‘dual’ MRP policy. More than half a dozen states have cracked down on companies that charge a higher MRP for their products in certain spaces like malls, airports and hotels.
While most of these states have served prosecution notices, Maharashtra legal metrology department has gone a step further and sought the state government’s permission to take these companies to the consumer forum for unfair trade practices.
It has also suggested fixing excise duty on the basis of highest MRP they charge for the same packaged item. Sources in the consumer affairs ministry said that states like Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh, Uttar Pradesh and Madhya Pradesh have issued challans against erring companies.
Most of the major manufacturers of bottled packaged water have sought some relief from the ministry on dual MRP. “Our responsibility is to protect consumer interest. There cannot be two MRPs for two types of consumers. Charging more than the MRP is illegal,” a ministry official said. Last year, they had issued circulars asking states to ensure compliance of single MRP of all packaged items and stop overcharging by vendors.
While most of these states have served prosecution notices, Maharashtra legal metrology department has gone a step further and sought the state government’s permission to take these companies to the consumer forum for unfair trade practices.
It has also suggested fixing excise duty on the basis of highest MRP they charge for the same packaged item. Sources in the consumer affairs ministry said that states like Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh, Uttar Pradesh and Madhya Pradesh have issued challans against erring companies.
Most of the major manufacturers of bottled packaged water have sought some relief from the ministry on dual MRP. “Our responsibility is to protect consumer interest. There cannot be two MRPs for two types of consumers. Charging more than the MRP is illegal,” a ministry official said. Last year, they had issued circulars asking states to ensure compliance of single MRP of all packaged items and stop overcharging by vendors.
