Is MRTP Act applicable on Government of India or Indian Ordnance Factories?
Querist :
Anonymous
(Querist) 08 March 2011
This query is : Resolved
Dear Experts,
1)Is MRTP Act applicable on Government of India and Indian Ordnance Factories?
2)Is Consumer Protection Act applicable to Indian Ordnance Factories for the products being sold by it?
Devajyoti Barman
(Expert) 08 March 2011
1. With the coming into effect of Competition Act, most of the provisions of MRTP Act has ceased to exist and its functions are made by Competition Law Tribunal.
2. If the product is for commercial use then Consumer Protection Act does not apply.
Querist :
Anonymous
(Querist) 08 March 2011
Thank you Barman Sir for clarifying Competition Act has practically replaced MRTP Act. I will go through its details at http://www.cci.gov.in/index.php
The products are not for commercial use but are retailed to individual users having license under Arms Act 1959. These are the products http://ofbindia.nic.in/index.php?wh=Sporting%20Arms〈=en
So does it mean Consumer Protection Act will apply to Indian Ordnance Factories for the above products sold to customers?
R.Ramachandran
(Expert) 09 March 2011
Yes. Your understanding is correct.
Querist :
Anonymous
(Querist) 09 March 2011
Thank you Ramachandran Sir. My query is resolved.
Surrender K Singal
(Expert) 09 March 2011
CEO Mr Jain needs all the appreciation for such quick resolution through this imaginative portal service that too F O C
Querist :
Anonymous
(Querist) 09 March 2011
Of course the CEO of LCI needs appreciation and so do the Experts who respond to queries! Believe me the replies by Experts have been really helpful.
Due to lack of competition and monopoly, IOF is selling its products at almost 10 times price to similar products available in international market. Moreover when compared with foreign made products, the products from IOF are usually of inconsistent, variable quality and shoddy workmanship.
Whatever is my understanding till now, after reading only The Objectives of the Competition Act(I will be reading the entire Act shortly), if any person has been issued a firearm license as per law, he is anyways going to buy the type of firearm as allowed on the license. It does not matter to the law(Arms Act 1959) whether he is buying from IOF or buying from some other manufacturer or importing it. Then where is the problem? The problem is that putting firearms on the restricted list of EXIM policy is causing anti-competitive practices, causing lack of promotion and sustaining competition, causing lack of protection of the interests of the consumers and causing lack of freedom of trade.
Let me see if a good case can be made out for lifting of restrictions in EXIM policy, so that arms license holders can import firearms rather than be compelled to buy overpriced products of poor, inconsistent quality and reliability from IOF.
