Indian Fmcg would have to implement standard pack sizes which were offloaded since 2004 where fmcg manufacturers were allowed to have non standard weights such as 18 g , 36g , 89g etc. which has made consumers confused while relating and calculating the price comparisons with quantity of different brands .
Maximum impact would be on confectionery , soaps , coffee and edible oil manufacturers companies which would have impact would be Britannia ,Parle , ITC , Hindustan lever , Nestle and Cadburys .
Manufacturers have to exhaust inventories of existing packing and change over to new weights , which may lead to price increase in most of the skus and product availability in market .Packaging cost would hit the profit margins as well it might also results in lowering of demand for few products . Reduction of grammage has been major cost reduction drive for many fmcgs , keeping margins thru lower weights at same price without any hike in the price .
Finally its the consumer which would gain from rationalization of packet weights giving them a clear picture of price comparison vis-a-vis weight .
The law states that the packet weight which are below 100g to label their products in terms of 25g, 50g,75g,100g above 100g to 300g it would be 100g, 150g,200g ,250g and above it would be in multiples of 100g such as 200g ,300g,400g etc . Ministry of Consumer affairs has shortlisted 19 categories of product to start with new norms applicable from 1st , July 2012 .Earlier law enacted was under standards of weights and measure ( Packaged Commodities) Rule , 1977.
here are the new standard weights norms under Indian Legal Metrology Packaged Commodities Rules
Product category New weight as per proposed amendments
source : Legal Metrology Packaged Commodities Rule .
latest news on standard pack rule
http://bakerybazar.blogspot.in/2012/06/standard-pack-size-rules-postponed-till.html
Maximum impact would be on confectionery , soaps , coffee and edible oil manufacturers companies which would have impact would be Britannia ,Parle , ITC , Hindustan lever , Nestle and Cadburys .
Manufacturers have to exhaust inventories of existing packing and change over to new weights , which may lead to price increase in most of the skus and product availability in market .Packaging cost would hit the profit margins as well it might also results in lowering of demand for few products . Reduction of grammage has been major cost reduction drive for many fmcgs , keeping margins thru lower weights at same price without any hike in the price .
Finally its the consumer which would gain from rationalization of packet weights giving them a clear picture of price comparison vis-a-vis weight .
The law states that the packet weight which are below 100g to label their products in terms of 25g, 50g,75g,100g above 100g to 300g it would be 100g, 150g,200g ,250g and above it would be in multiples of 100g such as 200g ,300g,400g etc . Ministry of Consumer affairs has shortlisted 19 categories of product to start with new norms applicable from 1st , July 2012 .Earlier law enacted was under standards of weights and measure ( Packaged Commodities) Rule , 1977.
here are the new standard weights norms under Indian Legal Metrology Packaged Commodities Rules
Product category New weight as per proposed amendments
Baby food | 100g,200g,300g,400g,500g,600,g, 700 g,800 g, 900g,1 kg, 2 kg, 5 kg and 10 kg |
Weaning food | 100g,200g,300g,400g,500g,600,g, 700 g,800 g, 900g,1 kg, 2 kg, 5 kg and 10 kg |
Biscuits | 25g, 50g, 75g, 100g, 150g, 200g, 250g, 300g and thereafter in multiples of 100g up to 1 kg |
Bread including brown bread but excluding bun. | 100g and thereafter in of multiples 100g |
Un-canned packages of butter and margarine | 25 g, 50 g, 100 g, 200 g, 500 g, 1 kg, 2 kg, 5 kg, and thereafter in multiples of 5 kg |
Cereals and Pulses | 100g, 200g, 500g, 1 kg, 2 kg, 5 kg and thereafter multiples of 5 kg |
Coffee | 25g, 50g, 100g, 200g, 250g, 500g, 1kg and thereafter in multiples of 1kg |
Tea | 25g, 50g, 100g, 125g 250g, 500g, 1kg and thereafter in multiples of 1kg |
Edible Oils Vanaspati, ghee, butter oil | 50 g, 100 g, 200 g, 500 g, 1 kg, 2 kg, 3 kg, 5 kg and thereafter in multiples of 5 kg |
Milk Powder | Below 50g no restriction, 50 g, 100g, 200g, 500 g, 1 kg and thereafter in multiples of 500 g |
Non-soapy detergents (powder) | Below 50 g no restriction, 50g, 100g, 200g, 500g, 700g, 1kg, 1.5 kg, 2 kg and thereafter, in multiples of 1 kg. |
Rice(powdered), flour, atta, rawa and suji | 100g, 200g, 500g, 1kg, 2kg, 5 kg and thereafter in multiples of 5 kg. |
Salt | Below 50g in multiples of 10g, 50g, 100g, 200g, 500g, 750g, 1 kg, 2 kg, 5 kg and thereafter in multiples of 5 kg |
Soaps | 25g, 50g, 75g, 100g, 125g, 150g, the multiples of 50g |
Aerated soft drinks, non-alcoholic beverages | 65 ml (fruit based drinks only), 100 ml, 125ml(fruit based drinks only), 150 ml, 200 ml, 250 ml, 300 ml, 330ml(in cans only), 500 ml, 750 ml, 1 litre, 1.5 litre, 2 litre, 3 litre, 4 litre and 5 litre |
Mineral water and drinking water | 100 ml, 130 ml, 150 ml, 200 ml, 250 ml, 300 ml, 330 ml, 500 ml, 600 ml 750 ml, 1 litre, 1.2 litre, 1.5 litre, 2 litre, 3 litre, 4 litre and 5 litre |
source : Legal Metrology Packaged Commodities Rule .
latest news on standard pack rule
http://bakerybazar.blogspot.in/2012/06/standard-pack-size-rules-postponed-till.html
Finally its the consumer which would gain from rationalization of packet weights giving them a clear picture of price comparison vis-a-vis weight .
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