Edible Oil Pack Chaos Sparks Consumer Deception Fears; SOPA Urges Intervention

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AuthorIshaan Verma|Published at:
Edible Oil Pack Chaos Sparks Consumer Deception Fears; SOPA Urges Intervention
Overview

The Soybean Processors Association of India (SOPA) is urging the government to reinstate standardized edible oil packaging. Deregulation since January 2023 has led to a wide variety of non-standard pack sizes, causing widespread consumer deception and creating an unfair market for honest manufacturers.

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The industry's top body argues that while the government intended to give manufacturers and consumers more freedom by removing standardized net quantity rules, the opposite has happened.

Market Disarray Post-Deregulation

Since January 1, 2023, the government removed restrictions on standardized pack sizes for edible oils. This move, intended to offer greater flexibility, has instead led to a bewildering array of non-standard net quantities on retail shelves. Market surveys reveal quantities such as 350g, 375g, 400g, 440g, 750g, and 800g, among others, with manufacturers having complete freedom to use any quantity.

Consumer Deception and Unfair Competition

Pouches with identical physical dimensions and visual appearance now contain different quantities. Consumers may be swayed by the lower absolute price on a visually similar, smaller pouch, mistakenly assuming it's a better deal. In reality, these smaller pouches frequently carry a higher cost per litre. Further confusion arises when volume is declared in milliliters without specifying temperature, as oil expands and contracts, making comparisons inaccurate.

The deregulated environment has created an unfair competitive field. Manufacturers maintaining transparent, standard pack sizes are losing ground to competitors exploiting non-standard quantities to create an illusion of lower prices. This compels even honest players to adopt confusing pack sizes to remain competitive, initiating a race to the bottom in consumer transparency.

Unit Sale Price Ineffectiveness

SOPA strongly disputes the idea that mandatory 'Unit Sale Price' labels (price per gram or ml) make standardization unneeded. The association asserts that typical retail consumers do not perform per-unit calculations during rapid shopping. The unit price, often expressed in paise with decimal places and printed in small font, is rarely read or understood by the majority. Consumer psychology and shopping speed mean visual cues and absolute price dominate purchasing decisions, making the unit price an ineffective safeguard.

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