The step is
expected to check the practice of e-tailers inflating prices and offering fake
discounts on products.
Starting today, e-commerce companies will have to
display maximum retail price (MRP) and expiry dates of packaged products on
their platforms.
The step is
expected to check the practice of e-tailers inflating prices and offering fake
discounts on products -- a practice they have been accused of in the past.
According to
an Economic Timesreport, many discrepancies were found in the
actual MRPs and those displayed on the websites. The report quoted a survey by
LocalCircles, which showed that 41 percent of 10,000 online shoppers had
reported witnessing inflated MRPs and fake discounts.
"The new
rules will help in realistic price disclosures, and fake discounts will also
vanish from online platforms," Yatish Rajawat, chief strategy offices,
LocalCircles told the ET.
E-commerce giants like Flipkart,
Amazon and Snapdeal have started working to comply with the new rules issued by
the ministry. They will be required to change their existing policies with the
sellers and legal authorities.
However, there are concerns that
several e-tailers are not yet ready to roll out the change.
"Feedback from users suggested
that only 10 to 12 percent of the products on e-commerce site are now showing
MRP as they are being stocked by the e-commerce sites themselves,"
LocalCircles said in a statement.
An Amazon spokesperson told ET that it has
taken multiple steps to inform the sellers of the changes in the legal
metrology regulations. "We are working with them to enable them to comply
with these changes in the regulations.”
Source:
