Introduction
Legal Metrology (Packaged Commodities) Rules, 2011 (hereinafter “LMPC”) compliance is essentially mandatory for an individual, firm, or company involved in the import, manufacture, packaging of pre-packaged commodities in India. In today’s global marketplace, the regulation and standardization of packaged commodities play a pivotal role in ensuring fair trade practices and consumer protection. The LMPC along with its subsequent amendments, constitute a comprehensive framework designed to regulate the packaging and labelling of products sold across India. These rules are rooted in the Legal Metrology Act, 2009 (hereinafter “LMA”), which aims to maintain uniformity and accuracy.
However, the implications of non-compliance with the LMPC can be severe and far-reaching. Violations may lead to legal penalties, product seizures, and damage to brand reputation. Such consequences underscore the critical importance for businesses to understand, implement, and continuously adhere to these regulatory standards. This research articles explains the compliance requirements under these rules and the consequences for non-compliance.
Wholesalers and retailers are distinct entities in this framework. A wholesaler typically purchases commodities in large quantities from manufacturers or other suppliers and sells them in bulk to retailers or other businesses. Retailers, on the other hand, purchase goods from wholesalers or directly from manufacturers and sell them in smaller quantities to the end consumers. Both wholesalers and retailers must comply with the packaging and labelling requirements stipulated under the LMPC to ensure accuracy in declarations, consumer protection, and fair trade practices.
- Nomination of Director/Officer
The amendment to Rule 29 of the Legal Metrology (General) Rules, 2011 allows companies to nominate officers instead of directors.
The amendment G.S.R. 763(E) 4th October 2022 worded as “Provided that where a company has different establishment or branch or different unit in any establishment or branch, an officer who has the authority and responsibility for planning, directing and controlling the activities of the establishment or branch or different unit may be nominated under subsection (2) of section 49 to be in-charge of and be responsible for the conduct of business of the establishment, branch or unit thereon”
This amendment was carried out under section 52 (2) (s) of LMA which empowers the Central Government to make rules in form and manner in which notice to Director or Controller, or any other officer authorised by him shall be given under section 49 (2) of LMA. Section 49 (2) of the LMA provides to authorize any director to take steps to prevent the commission of offence by the company
Now, companies with different establishments or branches can nominate an officer who has the authority and responsibility for planning, directing, and controlling the activities of those units.
- Mandatory Declaration on Packaged Commodities
The LMPC governs the packaging and labelling of packaged commodities in India, According to Rule 6 of the LMPC, every package containing a commodity must bear certain mandatory declarations. These include details such as the name and address of the manufacturer, the net quantity of the product, the retail sale price, and other prescribed information.
- Rules for Preparation of Advertisement, Compliance for Domestic, Imported and Outsourced Packages under Legal Metrology (Packaged Commodity) Rules, 2011
Rule 6 of the LMPC[1], mandates clear and precise declarations on packaged goods in India, covering manufacturer details, product quantity, pricing, and consumer complaint contacts. This table details these essential requirements to ensure regulatory compliance and consumer protection
In adherence to the recent amendments and notifications (Notification No. GSR 779(E) dated 2nd November 2021, GSR 226(E) dated 28th March 2022, and GSR 722(E) dated 6th October 2023), effective from 1st January 2024, MRP-labels must be prepared with meticulous attention to detail as per the LMPC. Here’s a comprehensive overview:
- Principal Display Panel (PDP) Area Calculation (Rule 7(4)): Calculate the PDP area for rectangular, cylindrical, pouch, and other shaped packages to ensure all mandatory declarations fit prominently and legibly.
- Height of Letters and Numerals (Rule 7(2)): Determine letter and numeral height based on PDP area specifications outlined in Table-1 of LMPC to ensure clarity and visibility.
- Width of Letters and Numerals (Rule 7(3)): Establish the appropriate width of letters and numerals to maintain readability and compliance with regulatory standards.
| Mandatory Declarations for Advertisements on MRP-Labels: |
| Rule 6(1): Every package must prominently display specific declarations, including: |
| The name and address of the manufacturer, or both the manufacturer and packer if different, and for imported packages, the name and address of the importer (Rule 6(1)(a)). |
| Explanation I to Rule 6(1)(a): Clarifies that in the absence of qualifying words (‘manufactured by’ or ‘packed by’), the name and address listed are presumed to be that of the manufacturer. |
| Explanation II to Rule 6(1)(a): Specifies that if the brand owner’s name and address appear on the label, they are responsible for any violations, with legal action taken against the first-listed manufacturer. |
| Explanation III to Rule 6(1)(a): Exempts food packages, directing compliance with the Food Safety and Standards Act, 2006 instead. |
| Rule 6(1)(d): Mandates the declaration of the month and year of manufacture, pre-packing, or importation: |
| Format: “MANUFACTURED ON: MM/YYYY”. |
| Proviso 1: For packages containing food articles, compliance with the Food Safety Standards Act, 2006 and related rules is mandatory. |
| Proviso 2: Exempts packages containing seeds certified under the Seeds Act, 1966. |
| Proviso 3: Omission of the use of rubber stamps for declarations. |
| Proviso 4: Requires compliance with the Drugs and Cosmetics Rules, 1945 for packages containing cosmetics products. |
Additional Mandatory Declarations for MRP-Labels:
| Additional Mandatory Declarations for MRP-Labels: | Suggestions |
| Rule 6(1) (aa): Requires the declaration of the country of origin for all imported products using the format “COUNTRY OF ORIGIN: [Country Name]”. | Suggestions: Use clear and prominent font size and position for this declaration to ensure visibility. |
| Rule 6(1)(b): Demands the use of common or generic names for commodities in the package, specifying each product’s name and quantity if there are multiple items. | Suggestions: Use universally accepted terms to describe products accurately. Include detailed listings for packages containing multiple items. |
| Rule 6(1)(c): Specifies the net quantity declaration in metric units appropriate for solid, semi-solid, or liquid products, and the count for number-based packages. | Suggestions: Ensure the quantity declaration is legible and prominently displayed without obstruction, adhering to spacing guidelines (Rule 8(1)). |
| Rule 8(1): Ensures adequate spacing around the net quantity declaration on the PDP, with clear guidelines for visibility. | Suggestions: Maintain consistent spacing to enhance readability. Use appropriate font sizes relative to the package size. |
| Rule 6(1) (da): Requires the display of ‘Best Before’ or ‘Use By’ dates where applicable, defining the end of marketability or quality attributes of the product. | |
| Rule 6(1)(e): States the maximum retail price inclusive of all taxes in Indian currency, using either ₹ or Rs for currency indication. | Suggestions: Display the MRP prominently on the PDP. Ensure the currency symbol and amount are clear and accurate. |
| Rule 6(11): Specifies the unit sale price declaration for various types of packages, including number-based, solids/semi-solids, and liquids. | Suggestions: Clearly state the unit price relative to the package contents. Use uniform font sizes and styles for consistency. |
| Rule 6(2): Provides contact details for consumer complaints, ensuring accessibility and responsiveness. | Suggestions: Include updated contact information to facilitate consumer inquiries and complaints promptly. |
TABLE:2
- Preparation for Principal Display Panel and recognise Font Sizes for Mandatory Declarations of MRP Label Artwork
The LMPC[2] provides specific guidelines for calculating the Principal Display Panel (PDP) area on different types of packages and the font sizes for mandatory declarations. This area calculation is crucial as it determines where mandatory information, such as the Maximum Retail Price (MRP), should be placed to ensure visibility to consumers.
Rule 7(4): PDP Area Calculation
Rule 7(4) outlines the PDP area calculation for different types of packages. The area excludes the top, bottom, flange at top and bottom of cans, and shoulders and neck of bottles and jars. The PDP area is determined as follows:
Rectangular Packages:
Description: For rectangular packages, the PDP area is determined by multiplying the height and width of the package’s largest side. This calculation ensures that one entire side of the package, typically the front, is considered the primary display area.
Formula: PDP Area= Height × Width
Example Calculation: For a rectangular package with a height of 20 cm and a width of 10 cm, the PDP area is 20 × 10 = 200 sq. cm.
Cylindrical or Nearly Cylindrical Packages:
Description: For cylindrical packages, the PDP area is defined as 40% of the product of the package’s height and its circumference. The circumference is calculated using the formula 2πr, where ‘r’ is the radius.
Formula: PDP Area = 0.4 × Height × Circumference
Example Calculation: For a cylindrical package with a height of 15 cm and a diameter of 10 cm, the circumference is 2πr = 2 × 3.14 × 5 = 31.4 cm. The PDP area is 0.4 × 15 × 31.4 ≈188.
Other Shaped Packages:
Description: For packages of other shapes, the PDP area is determined as 40% of the total surface area of the package, or a specifically designated area that serves as the principal display panel. This calculation ensures that even uniquely shaped packages have a clear and accessible area for mandatory declarations.
Formula: PDP Area = 0.4 × Total Surface Area
Pouch Packages:
Description: For pouch packages, the PDP area is calculated as two times 40% of the product of the length and width of the package, resulting in 0.8 times the length and width. This ensures that the primary display area is clear and accessible for the necessary declarations.
Formula: PDP Area = 0.8 × Length × Width
Example Calculation: For a pouch with a length of 25 cm and a width of 15 cm, the PDP area is 0.8 × 25 × 15 = 300 sq. cm
Rule 7(2): Font Size for Declarations
Under Rule 7(2), the height of numerals and letters in the mandatory declarations must comply with the sizes specified in Table I. The table specifies minimum heights based on the PDP area:
| S. No.
|
Area of PDP (Sq cm) | Minimum Height (mm) | Minimum Height when Blown/Molded (mm) |
| 1. | A≤50 | 1.0 | 2.0 |
| 2. | 50<A≤100 | 1.5 | 3.0 |
| 3. | 100<A≤500 | 2.5 | 4.0 |
| 4. | 500<A≤2500 | 4.0 | 6.0 |
| 5. | A>2500 | 6.0 | 6.0 |
Rule 7(3): Width of Letters and Numerals
Rule 7(3) states that the width of any letter or numeral should be at least one third of its height. The exceptions to this rule are the numeral “1” and the letters (i), (I), and (l), which can have different width-to-height ratios.
- Compliance for E-commerce entity
The provisions of the LMA and the corresponding rules under the LMPC concerning the marketing of products through web-based advertisements by a “Marketplace based model of E-Commerce Entity[3].” This model involves an e-commerce entity providing an information technology platform on a digital and electronic network to facilitate the purchase of products by consumers.
Mandatory Provisions for Marketplace-Based Model (Rule 6(10)): E-commerce entities must ensure that the mandatory declarations specified in sub-rule (1), except for the month and year of manufacture or packing, are displayed on the digital and electronic network used for e-commerce transactions.
Responsibility of Declarations: In the marketplace model, the responsibility for the correctness of declarations lies with the manufacturer, seller, dealer, or importer if the e-commerce entity’s function is limited to providing access to a communication system where information is transmitted, temporarily stored, or hosted. if the e-commerce entity’s function is limited to providing access to a communication system where information is transmitted, temporarily stored, or hosted. The entity must not:
- Initiate the transmission.
- Select the receiver of the transmission.
- Select or modify the information in the transmission.
Loss of Protection for Unlawful Activities: E-commerce entities lose protection if they conspire, abet, aid, or induce unlawful acts, or fail to remove or disable access to unlawful content upon notification by the appropriate government or its agencies without compromising evidence.
Clarification on Declarations: The provisions clarify that these rules do not exempt e-commerce entities from making required declarations on pre-packaged commodities delivered to consumers.
These provisions emphasize that compliance with mandatory declarations remains a non-negotiable obligation, ensuring that consumers receive accurate information about pre-packaged commodities purchased online. The LMPC thus plays a vital role in maintaining the integrity and reliability of e-commerce transactions.
[1] https://consumeraffairs.nic.in/sites/default/files/uploads/legal-metrology-acts-rules/8.pdf
[2] https://consumeraffairs.nic.in/sites/default/files/uploads/legal-metrology-acts-rules/8.pdf
[3]https://consumeraffairs.nic.in/sites/default/files/uploads/legal-metrology-acts-rules/8%28xii%29_0.pdf