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States ignore Centre directive on dual MRPs

BusinessStates ignore Centre directive on dual MRPs
States are not paying attention to overcharging by shopping malls, multiplexes, airports despite a directive by the Centre, leading to increased prices of water bottles, snacks, juice etc.

The Centre had provided a big relief to consumers at malls, multiplexes, airports, railway stations and restaurants by striking down charging anything over the maximum retail price (MRP). The Consumer Affairs Department had issued AN advisory in December last year to all the state governments to ensure that there is no dual pricing for any packaged items.

The advisory came in the backdrop of the ground reality that several items like bottled water, chips, snacks etc. are usually sold at higher prices at big shopping malls, multiplexes, airports etc. The government had said that in the case of two MRPs for a single product, the lowest price would be considered. As per the rule, there is no dual MRP provision for the packaged commodities.

The shopping malls, multiplexes, airports & airlines are dealers and retail dealers as per The Legal Metrology (Packaged Commodities) Rules, 2011 since they buy in bulk for resale and directly resell the same to the consumers, that too at the MRP, sources said.

However, as per information provided under the RTI to social activist Anil Sood, it has come to light that except Maharashtra, no state government has taken any action against the shopping malls, multiplexes etc. Shockingly, the Delhi government has claimed that there is no such case of overcharging by any of the shopping malls, multiplexes, airports and airlines. But Sood contended that a large number of cases can be found in Delhi.

Sood cited the National Consumer Disputes Redressal Commission decision dated 1 February 2016 which says that there cannot be two MRPs, except in accordance with the Law.

However, according to sources, the Food and Consumer Affairs Ministry, headed by Ram Vilas Paswan, is contemplating banning the practice of dual pricing across the country. This will mean that a bottle of Pepsi or Coke would be priced universally across the country. The practice of dual pricing would end once the new rules are notified.

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