Ink association seeks amendment to Packaged Commodities Rules

The Association has sought to exclude all industrial inputs like printing ink from the purview of these rules irrespective of whether they are sold directly to the industrial consumer or distributed through dealers and other channels.

According to AIPIMA, the present Packaged Commodities Rules defines retail packages as packages which are intended for retail sale to the ultimate consumer for the purpose of consumption of the commodity contained therein and includes the imported packages; provided that for the purpose of this clause, the expression “ultimate consumer shall not include industrial or institutional consumers. “By this definition, the printing ink packages automatically go out of the purview of these rules by being an industrial consumable,” said a source from the association.

However, the Association has said that due to an anomaly in the rules, which exempt the industrial products from the requirements applicable to packages and labels, inspectors prosecute the dealers as well as manufacturers of printing ink by sending notices of prosecution to them. “Since any breach of the Packaged Commodities Rules is a criminal offence, the prosecution procedure is so cumbersome and time consuming that most dealers and manufacturers prefer to pay compounding fees to escape prosecution even though they have a strong case. The compounding fee in the case of an average Limited Company would amount to Rs one lakh,” the source said.

The AIPIMA representation stated that the Hon’ble High Court has clearly stated that the act is meant only for an individual consumer or a group of individuals who purchase packaged commodities from a retailer and is not required to be complied with by the manufacturer.

The source concluded, “Government action on this request will provide the printing ink manufacturer relief from prosecution and concentrate on their line of business.”