Single-brand retailers such as Ikea, Fabindia, Decathlon, H&M, Marks and Spencer, will now be exempt from marking the maximum retail price on their products. India’s consumer affairs ministry has relaxed labeling norms for the next one year and has laid down conditions for an alternative method of displaying prices.
A government directive says that retail sale prices of the products in a store will have to be displayed on labels fixed on racks. Additionally, the bar codes on prepackaged items for sale will need to display the retail sale prices when the items are scanned. Retail prices should be available on the company website. A catalogue of retail prices should also be available at each single-brand retail store. The Economic Times reports that the new order also specifies that once a packaged product is imported or packaged within the country, its retail sale price shall not be escalated upwards during its life cycle.
“Removing the ‘maximum retail price’ display requirement on labels for packaged products is a positive step by the government towards establishing modern retail practices,” said Patrik Antoni, deputy country manager of Ikea India. “This will allow a more integrated way to communicate price in a multichannel environment.”
