Financial Daily from THE HINDU group of publications Wednesday, Sep 15, 2004 |
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Industry & Economy
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Engineering Engg cos allege harassment by Legal Metrology officials R.Y. Narayanan
Coimbatore , Sept. 14 THE engineering industries here are upset over the treatment of engineering products like pumps on par with FMCG goods and medicines. States such as Andhra Pradesh and Orissa are insisting that the products are packed with details of MRP and date of manufacture. The manufacturers of hosiery products in Tirupur are also stated to have been subjected to action by personnel from the Legal Metrology Department in some States when those kept in retail shops did not contain the number of products specified in the box. The industry has made a plea that the Ministry of Consumer Affairs, Food and Public Distribution should provide representation to the industry associations of Coimbatore region in the consumer advisory committee so that the practical difficulties could be brought to the Government's notice. In a memorandum to Mr Sharad Pawar, Union Minister of Consumer Affairs, Food and Public Distribution, Mr C.R. Swaminathan, President of the Southern India Engineering Manufacturers' Association (SIEMA), Coimbatore, said the engineering goods were packed in cartons for ease in transport. The technical details were not printed on the cartons since these were mentioned either in the name-plate or were printed in the brochures available with the products. The date of manufacture also was not printed since these were not perishable commodities. But the officials of the Legal Metrology Department in some States treated the engineering products on par with perishable commodities and insisted on the date of manufacture being printed on the cartons. He said the officials also insisted on the Managing Director or the partner of the manufacturing companies be present personally in court when they initiated legal proceedings. This caused hardship to the company executives since they were forced to travel to far-flung areas to be present in the court and they were not given the opportunity to be represented by their attorneys. LMD officials had also objected to dealers affixing new price stickers on old ones. He pointed out that whenever a price revision took place, the dealers affixed the new price sticker on the old stocks kept by them. Mr K.V. Ganapathi, Vice-President, SIEMA, speaking to Business Line, said seven or eight engineering companies in Coimbatore had faced legal action and had to pay substantial penalty. The problem arose in States such as AP, Orissa and Madhya Pradesh. He questioned the rationale of treating pumps on par with perishable goods or medicines and insisting on their being packed in individual cartons with the date of manufacture, MRP, technical details etc being printed on the package. He pointed out that in the jewellery business, the cost of ornaments depended on the market price of gold/silver fixed on a daily basis, irrespective of the original cost of the raw material. Mr Ganapathi said the hosiery manufacturers in Tirupur also faced some problem when, during shop inspections, the LMD officials found lesser number of garments kept in boxes in the shops than mentioned in the boxes. He said this occurred because sometimes customers picked up one or two garments instead of the entire lot in the box and the shop owners should not be penalised for fulfilling the customer needs.
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