Restaurant in Jaipur Charging a price higher than MRP?

 

Restaurant in Jaipur Charging a price higher than MRP? 

Have you ever been charged more than MRP for your cold drinks, bottled water or other packaged food? I always wondered why the price for the same water bottle is different at different locations. At Meraaki Kitchen, we did our research and might solve some of your queries. Read further to understand why restaurants in  Jaipur or elsewhere in India charge a price higher than MRP. 

Know what is MRP

MRP is also known as Maximum Retail Price and is printed on the products by manufacturers. It often refers to a no. above which no shopkeeper can sell the product. The MRP is inclusive of factors like cost of production, transportation, taxes and the profit margin. It is mandatory to have MRP printed on all the products. The manufacturer calculates MRP after a lot of research and planning.  

Rules for MRP

Ever wondered why a shopkeeper charges a different amount for the same water bottle and in a restaurant you are charged differently for the same bottle? Because rules for selling the same bottle for different entities are different.

•          Retailer

A retailer can charge the packaged food or drink for an amount printed as MRP or lower than that. Yes, it is a rule that a shopkeeper cannot sell above the MRP fixed by the manufacturer. It is illegal to sell any product above MRP by a retailer.

 

• Cinema Houses and Hotels

In 2017, FHRAI (Federation of Hotels and Restaurants Associations of India) won the petition they filed against selling the products not more than the stated MRP. The Supreme Court of India ruled that the hotels and the restaurants can sell the products above the MRP. They stated that the restaurant and the hotels are not making a simple sale like retailers; they are providing extra services for their customers like the ambience, cutlery, services etc.

The court directed that the Legal Metrology Act would not be applicable upon Entertainment Zones, Hotels and Restaurants. They would not be prosecuted for selling products at a higher price than the MRP. And that’s the reason why restaurants near me charge a higher price than the MRP.    

 

• Airport Stores

Restaurants near me charge higher than the MRP and we understand why. But what happens to the airport stores, ever thought about what rules should apply to them? Unlike restaurants in Jaipur like Meraaki Kitchen, Surya Mahal, Niroz etc the Court has forbidden any store to sell products at a higher price than MRP even at the airport.

The Legal Metrology (Packaged Commodities) Rules, 2011 which came into effect on 1st January 2018 didn’t allow Airport stores to sell above Maximum Retail Price. 

 

• Hospitals and Chemists

There was a time when no price tags were affixed upon the medical products but now they also came under the ambit of this law. Legally all medicines, syringes and other medical products need to have MRP printed on them and consumers have the right to know the prices of even medical products well in advance.