Government makes big announcement, relief to companies on MRP label of old stock

The government has provided significant relief to companies ahead of the implementation of the GST reform. Under this, companies are no longer required to affix new MRP stickers to old stock. This government decision will not only provide cost savings for companies but also allow them to sell old stock without hassle.

The government has provided significant relief to companies by revising the GST rates applicable to consumer goods. Companies will no longer be required to display the revised price (MRP) sticker on packaged products manufactured before September 22, 2025. The Ministry of Consumer Affairs has taken this important decision in response to concerns raised by industries and trade organizations, ensuring that companies are not inconvenienced.

Old stock will now be sold without replacement

Previously, when GST rates changed, companies had to affix a new MRP sticker to every old product, which resulted in a loss of both time and money. Now, the government has changed this rule. This means that if a product was manufactured before September 22, 2025, and hasn't yet been sold, it can be sold with the old MRP. Yes, a company can voluntarily affix a new price sticker if it wishes, but it's not mandatory.

The value should be clear, not hidden.

The ministry has clarified that if a company applies a new sticker to old packaging, the old price information must be clear and legible. This means that consumers should know the previous price and the current price. Maintaining this transparency is crucial to avoid consumer confusion.

The requirement of advertising in newspapers has been abolished.

Previously, any company that changed the price of its products had to advertise in two newspapers. This requirement has now been removed. Instead, companies will only need to inform wholesalers and retailers of the new prices. This information will also need to be sent to relevant government departments to ensure information is maintained at all levels.

It is necessary to provide information through digital platforms

The government has asked companies to use all communication channels, including digital, print, and social media, to communicate the new prices. The aim is to ensure that dealers, shopkeepers, and consumers receive accurate, timely information about the new prices.

Use of old packaging material possible by 2026

Another major relief is that companies can use wrappers or packaging material with the old print until March 31, 2026, or until the old stock is exhausted, provided that if the prices have been changed, the new price is displayed on the product through stickers, stamps, or online printing.

The government has also clarified that it is not mandatory for companies to declare new prices on old packages or packing materials. They may do so if they wish, but there will be no legal obligation to do so.