• MRP on GPS device for industrial use

Hello, My company is into providing GPS solutions and both software and Hardware. The GPS device is procured/imported from other countries and we buy it from their Vendor in India. these devices are then given to our customers and fitted in their Vehicles, however it is sold on a B2B basis. we don`t have any MRP labeling on these devices but we do give invoice with the price per unit mentioned as well as date of Manufacture etc. we don`t not want to to have the labeling since we don`t manufacture it and the vendor that we buy from also has no such labels. I know that acoording to the Standards of weights and measures act and the legal Metrology act it is Mandatory, but is there anywher mentioned that for industrial goods we need not have this MRP labeling? Thank you in Advance.
Asked 6 years ago in Business Law

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7 Answers

You will have to mandatoraly mention the MRP of the product.

Regards

Anilesh Tewari
Advocate, New Delhi
18077 Answers
377 Consultations

5.0 on 5.0

it is held by the supreme court in Manish Enterprises versus fssai 2012 that details about the product and manufacturer's name/country's etc are mandatory in respect of industrial goods also.

Shivendra Pratap Singh
Advocate, Lucknow
5127 Answers
78 Consultations

4.9 on 5.0

Hi

Please refer to clarification issued on [deleted] by Department of consumer affairs, legal metrology Department.

In this clarification it is mentioned that exemption to industrial/institutional consumers is given considering that they are not retail consumers.Thus there is no need to declare M.R.P on goods sold to these consumers.

Also sales made by importers to industrial/institutional consumers are recognized in case laws such as

a) Henkel CAC pvt ltd vs CCE(2012) &

b) CC vs Nitco Tiles (2011). Both these cases were in Mumbai Tribunal

Since you are selling your products to customers under B2B model, we presume your business is compliant to other rules prescribed in Legal Metrology (Packaged Commodities) rules 2011 and its subsequent amendments thereof.

Hope this information is useful.

Rajgopalan Sripathi
Advocate, Hyderabad
2173 Answers
394 Consultations

5.0 on 5.0

Particularly, GPS like IP security solution products must have MRP details.

If you would like to avoid labeling then you need to make sure the hardware/software must have unique IDs. Can you confirm this at-least? .

The traces or logs ( IP address, Port number ... etc.,) are produced by the GPS device is the digital evidence. when you need certificate like 65B of IEA, the device details would be validated by cyber expert.

Niranjan
Advocate, Bangalore
844 Answers
9 Consultations

4.9 on 5.0

There is no law which allows you to sell an item without MRP.

Take care of the same to avoid any legal consequence in future.

Regards

Anilesh Tewari
Advocate, New Delhi
18077 Answers
377 Consultations

5.0 on 5.0

As per the Act industrial consumer means who buy packaged commodities directly from the manufacturer for use by that industry.

package of commodities containing quantity of more 25 kg and meant for industrial use.

Package containing ten or more than ten retail packages provided that the retail packages are labelled as required under the rules.

The maximum price at which the commodity in the packaged form may be sold to the ultimate consumer and the price shall be printed on the package in the manner given below:

Maximum retail price ....../- inclusive of all taxes .

This is the mandatory provision as per the act referred to herein above.

T Kalaiselvan
Advocate, Vellore
84711 Answers
2172 Consultations

5.0 on 5.0

Is there any way to avoid labeling? My CEO/MD is against having it labelled and no amount of reasoning can convince him. Please could someone help me out?

If the product is sold without the MRP label then it is likely to attract the penal provisions as per law.

T Kalaiselvan
Advocate, Vellore
84711 Answers
2172 Consultations

5.0 on 5.0

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