A Deep Dive into Indian Legal Metrology Act: Compliance and Implications
Legal Metrology Act Overview
Metrology means the science of measurement. Legal metrology refers to any applied metrology that is governed by legislation or government order.
Whether domestic trade, international trade or online transactions, if consumers do not get what they have been promised it will lead to distrust and dissatisfaction among consumers impacting overall trade and commerce. To overcome this, a legislation was enacted which would standardize weights & measures, prevent unethical practices in trade and to rationalise the metric system in India.
What is the applicability of Legal Metrology Act?
Every Manufacturer, Repairer or Dealer of weights and measures is required to obtain a license issued by Controller of Legal Metrology
- Every Manufacturer, Packer or Importer of commodities who pre-packs or imports any commodity for sale, distribution or delivery is required to obtain a registration under the Legal Metrology (Packaged Commodities) Rules, 2011.
Are there any Compliances under Legal Metrology Act?
1. Mandatory Declaration
The Legal Metrology Act, 2009 along with the Legal Metrology (Packaged Commodities) Rules, 2011 prescribes important declarations to be made in order to manufacture, pack, sell, import, distribute, deliver, offer, expose or possess for sale of any pre-packaged commodity in standard quantities or number. These declarations should also be made when goods are sold through e-commerce platform.
The following declarations are mandatory to put on the package/e-commerce platform:
(i) The name and address of the manufacturer or packer or importer.
(ii) The net quantity of the content.
(iii) Best before or expiry date, month and year of a commodity
(iv) Month and year of manufacture or packing or import
(v) Retail sale price: MRP (including all taxes)
(vii)The common or generic name of the commodity
(viii) Size/dimension of the commodity
(ix) Country of Origin (For imported goods only)
2. Mandatory Verification:
Persons using any weight, measure, or measuring instrument in transactions must undergo mandatory verification and stamping of the instruments. Re-verification is also obligatory for weights and measures in continuous use.
3. Mandatory Standard Unit Usage:
It is mandatory to use standard units of weight, measure, and numeration, such as Unit, Mass, Length, Area, Capacity, Temperature, and Volume, when quoting prices, issuing invoices, publishing advertisements, and indicating the net quantity of pre-packaged commodities.
4. Conforming to Regulations:
Importers of weights and measures must register at least one month before the import date. All imported weights, measures, or components of machines must conform to standard weight or measurement regulations.
5. Proper Records:
Every Manufacturer, Repairer or Dealer of weight or measure shall maintain proper records and registers of Weight and Measure.
6. Model Approval:
Every Person, before manufacturing or importing any weight or measure should obtain prior approval of model of that weight or measure.
7. Reporting Requirement:
Every Licensed Dealer is required to submit monthly or quarterly reports/returns of weight and measure to the legal metrology controller.
What are the Consequences of Non-compliance with Metrology Act?
Non-compliance with the Legal Metrology Act may lead to severe consequences, including fines and imprisonment. Offenses such as the use of non-standard weights or measures, alteration of weights and measures, manufacturing non-standardized weights or measures, and dealing in goods with non-standard weights or measures can result in fines ranging from ₹50,000 to ₹5,00,000.
Other violations, including issuing price lists not in standard units, demanding quantities outside agreed terms, and selling or delivering commodities with non-standard weights or measures, may incur fines and imprisonment. Importantly, the Act also prescribes penalties for false information, counterfeiting seals, and tampering with licenses. Additionally, non-compliance with registration requirements may lead to fines for manufacturers, packers, and importers of packaged commodities. Violating rules related to Maximum Retail Price (MRP) can result in fines, emphasizing the Act’s stringent measures to ensure adherence to standardized weights and measures.
Does Metrology Act have any Impact on Businesses?
There is huge importance of accurate measurements in trade. The impact of the Legal Metrology Act on businesses is profound, with numerous benefits for both businesses and consumers.
- Instills trust among consumers and buyers.
- Businesses that prioritize these standards demonstrate a commitment to fairness and accuracy in their transactions.
- Enhances a business’s global appeal thereby attracting international buyers and investors who value transparency and ethical conduct.
- The applicability of the Legal Metrology Act to e-commerce companies promotes a fair and reliable marketplace for digital consumers.
World Metrology Day is celebrated annually on May 20th, underscores the pivotal role of accurate measurements in trade and commerce, emphasizing its profound significance.
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