Amid retailers still holding old inventory at pre-GST price, the Central government on Tuesday allowed them to sell “unsold stock” at new prices after putting a sticker of the revised maximum retail price (MRP) along with the existing price on the packages of products.
Addressing a joint press conference on the GST with Revenue Secretary Hasmukh Adhia, Consumer Affairs Secretary Avinash Srivastava said that the government has given a three month window till 30 September to companies to sell unsold stocks at new prices. This has been done as the GST rollout affected prices of commodities that were lying in godowns.
"A revision in the rate of a pre-packaged commodity can be done only after advertisement in at least two newspapers," Srivastava said. Declaration of changed MRP can be done by way of stamping or putting sticker or online printing, he added.
"In exercise of the powers conferred by rule 33 (1) of the Legal Metrology (Packaged Commodities) Rules, 2011, the Central government hereby permits the manufacturers or packers or importers of pre-packaged commodities to declare the changed retail sale price (MRP) on the unsold stock manufactured/ packed/imported prior to 1st July, 2017 after inclusion of the increased amount of tax due to GST if any, in addition to the existing retail sale price (MRP), for three months w.e.f. from 1st July 2017 to 30th September , 2017," the Consumer Affairs Ministry said in a statement.
Concerned about the rise in prices of various commodities after the GST rollout on 1 July,
Revenue Secretary Adhia said the government was closely monitoring price and supply of goods, particularly essential and daily-use commodities, to ensure there are no disruptions post the GST rollout.
He said there have been no reports of any disruptions post GST's implementation and that a central monitoring committee, comprising of 15 top Secretaries of the central government, will meet every Tuesday to take stock of the situation. Additionally, 175 officers of joint secretary/additional secretary level have been given charge of 4-5 districts each to monitor the GST implementation, he said.
However, even post the GST rollout, the state governments would continue to hold their rights on imposing local taxes and various fees for heir state revenues.
Adhia said toll, mandi charges and fee on vehicle entry into states are not subsumed in the GST and will continue to be charged by local bodies or state governments.
All other levies on entry of goods have been subsumed in the GST, thereby resulting in abolition of entry barriers in 22 states.
On the issue of registration for the GST, he said about two lakh new registrations have been done since the registration reopened last week. Of these, 39,000 have already been approved.