Profiteering by Godrej Consumer Products
Please see attached. Godrej Master Blaster handwash had a MRP of 89 before gst came. Then in Nov when ratea on this category was reduced from 28% to 18% they should have dropped the MRP. Instead they are still selling at MRP 89 (attached screebshot) Isnt that profiteering by not giving consumer their due benefit? more
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It is a very complicated issue and hence stating that companies are adapting to profiteering may or may not be correct. We are not clear about input tax credit in any product. Hence if the GST has been reduced, the input tax credit might have also been reduced resulting into no effect on the costing. Secondly the companies may justify with increase in manufacturing cost and overheads. It seems setting up of National Anti-Profiteering Authority may be another eye wash just to give a signal to the public that we have set up authority also. Then another aspect is that there is no rule and regulation to cap the profit margin that any business house can charge. Thus in my view it would be a futile exercise. more
Oct 31
When the price of the product was Rs.89/- prior to implementation the the GST and remained unchanged even after implementation of the new taxing system, how it affected the consumers' interests is not clear. Please be specific. more
Oct 23
Godrej may be or may not be profiteering. If we assume that cost of manufacturing and selling is the same in both pre and post GST era then Godrej is definitely profiteering. On the other had there might be input cost rises like increase in wages, raw material cost in the last justifying a price increase, hence price may have been kept same. more
Oct 08
