Beware of Fake, Spurious and Counterfeit!!
Fake, counterfeit and spurious products are the reality of the day, be it medicines or food or gold and precious metals. Even our news channels and social media platforms are brimming with fakes!
It is good that Consumers have ‘Right to Choice’.
But is it okay to have that choice between the real and the fake?
Manufacturers have the right to decide the MRP of their product (excepting a very few products under price control). But is it okay to use that right to mark up by 1000-2000% or even more? Unreasonably high prices of branded medicines, perfumes and various other products is giving rise to cheaper fakes!
Do you know what is the actual cost of perfume content in a bottle of designer perfume that you bought for Rs 6000? Just Rs 160! On the other hand retailer's Profit is Rs.2400!! The bottle itself costs Rs 360!!!!
Brand owners are also consumers first! They manufacture one product but consume thousands of products made by others. It will be in their own interest to come together and say ‘NO’ to fakes!
The Consumer Protection Act, 2019 has provided for stringent penalties in fight against fakes, including imprisonment up to 7 years and fine up to Rs 10 Lakhs for adulterated or spurious products. This Act has come into force in July, 2020. An empowered consumer, coupled with a strong enforcement of Consumer Protection Law is the need of the hour.
(Source: Consumers India) more
It is good that Consumers have ‘Right to Choice’.
But is it okay to have that choice between the real and the fake?
Manufacturers have the right to decide the MRP of their product (excepting a very few products under price control). But is it okay to use that right to mark up by 1000-2000% or even more? Unreasonably high prices of branded medicines, perfumes and various other products is giving rise to cheaper fakes!
Do you know what is the actual cost of perfume content in a bottle of designer perfume that you bought for Rs 6000? Just Rs 160! On the other hand retailer's Profit is Rs.2400!! The bottle itself costs Rs 360!!!!
Brand owners are also consumers first! They manufacture one product but consume thousands of products made by others. It will be in their own interest to come together and say ‘NO’ to fakes!
The Consumer Protection Act, 2019 has provided for stringent penalties in fight against fakes, including imprisonment up to 7 years and fine up to Rs 10 Lakhs for adulterated or spurious products. This Act has come into force in July, 2020. An empowered consumer, coupled with a strong enforcement of Consumer Protection Law is the need of the hour.
(Source: Consumers India) more
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This is a trend started 5 years back, till then traders & consumers had forgotten MRP & question on MRP. On medicines MRP marked are many times more than mfg cost & retailers cartel ensures that no one gives a discount on MRP. more
Jan 18
If we all start considering himself consumer first before being producer/manufacturer, the problem of fake/spurious/counterfeit and inflated MRP will e stopped for ever. more
Jan 18
Is the tax given by the producer on MRP or something else .I presume on the sales turnover so they escape more
Jan 18
How can they escape? The tax in any case applicable both at manufacturers point n also by the traders if ask bill the GST has to be indicated separately, provided their turnover falls under the category of GST. Moreover , for small items of grossery, customers don't ask for bill n if so hand written kachha bills are given except for big shops n malls more
Jan 18
The fact is manufacturers are forced to to mark their products at atrocious MRP by the traders. Then the traders give some discount and end up making much more money than manufacturers.(this I have practically experienced while working in a mNC).Other wise they tell the customer that the product is high priced and push some other product which gives them bigger margin. In both the cases the consumer ends up getting fleeced. In the other scenario the popular brands give them less margin but still because of public demand they end up making more inspite of low margins Classic examples are Colgate,HUL,Patanjali etc. The solution is complex and no govt wants to go there. more
Jan 17
