How Can I Obtain an LMPC Certificate for Pre-Packaged Goods Importation into India?

Do you intend to bring in packaged goods to sell and distribute in India? If so, you must first obtain a Legal Metrology Registration Certificate (LMPC). An import permit covered by the Legal Metrology Act of 2009 and the Legal Metrology (Packaged Commodity) Rules of 2011 is referred to as an LMPC certificate. The Act controls the exchange of goods that are distributed or sold by weight, volume, or number. By supporting standards and laws, the Act aims to promote open commerce and protect consumer rights.

This article aims to thoroughly address all inquiries regarding the LMPC certificate, including the following:

·         What do you mean by a commodity that has been packaged? What function does the importers' LMPC certificate serve?

·         Why is it necessary for importers to obtain an LMPC certificate?

·         How do importers submit a similar application?

·         What are the underlying legal sanctions for breaking the LMPC certificate's terms?

What does "pre-packaged goods" mean legally?

Pre-packaged goods are defined in legal jargon as "a commodity that is wrapped in a package (regardless of type), whether sealed or unsealed, without the buyer being present, so that the commodity present therein has a pre-determined quantity."

Baby food items, food items, fuel, cement in bags, fuel, wires, wool, chemicals, etc. are a few typical examples of such goods.

highlighting the importance of legal metrology

The study of measurements is the focus of the field of metrology. It primarily addresses weight and measurement units and methods in relation to necessary legal and technical requirements.

Let's examine how it applies to pre-packaged goods in the real world.

We buy products that are either sold unsealed or pre-packed when we go to the market. In our presence, the loose goods, such as fruits and vegetables, are weighed. We can examine their calibre firsthand. The identity of the seller is also known to us. We cannot be certain of these parameters, however, when it comes to pre-packaged goods. In order to make an informed purchase, we need the information provided by the Legal Metrology Act (quantity, weight, price, expiration date, etc.). This is where the LMA comes into play.

What function does the LMPC certification serve for importers?

The Controller of Legal Metrology in the State must receive an application from any businesses involved in importing pre-packaged goods for sale or distribution. The LMPC certificate will be given to the applicant in question if the application is approved by the relevant authority.

For a minimum of one year and a maximum of five years, an LMPC registration is valid. If you want to sell those goods in a specific state, you must apply for this licence to the controller of that state. Similarly, you must register with the director at the Centre through your regional controller if you plan to conduct business in multiple states.

How to apply for an LMPC certificate

For LMPC registration, some states make it simple to file online. You are permitted to submit an application along with the required paperwork on the state's official website in a state like Andhra Pradesh. An applicant from State can, however, follow the same procedure.

You can go to your local Legal Metrology Department and submit the required application in person if there isn't an online portal available. To handle the legalities, you can also contact a consultant like Corp-biz or a lawyer.

How do I register as an LMPC and how much does it cost?

The following information must be included with the application when it is submitted:

·        Candidate name

·        Address of the warehouse where the goods are imported

·        generic or common name of the good

Common paperwork needed to apply for an LMPC certificate

·        The DGFT has issued an Importer Exporter Code (IEC).

·        Certificate of GST Registration

·        Digital photos submitted by the applicant

·        Address and ID verification

·        Sample of the commodity label that will be applied.

·        Application's Aadhaar number

·        Registration of businesses (based on the type of business structure)

·        Copies of the MoA and AoA ( in case of the company falling under the Companies Act, 2013[1])

These additional documents could be needed, depending on the State where the certificate is requested.

·        applicant's birthdate

·        The property has proof of tenancy.

·        Location of the property on a map

·        NOC issued by the State Pollution Control Board or another similarly qualified authority

The rules state that the application must be submitted within 90 days of the importation's start date.

The relevant authority will inspect the importer's facilities on-site after receiving the aforementioned application. The authority must register the applicant and grant the LMPC registration following a successful verification.

Within seven days of receipt, the application will be returned to the applicant if there are any errors or missing pieces of information.

Responsibilities of importers under the Legal Metrology Act

The applicant must make sure that a declaration containing the following details is attached to their pre-packaged goods in order to obtain the LMPC certificate:

·        Name and location of the importer

·        Name and location of the manufacturer

·        the brand name or common name of the product that is packaged

·        Originating nation (COO) of the product

·        Overall quantity expressed in terms of a weight, number, or measurement that is standardized

·        Month and year are both significant.

·        both the manufacturing year and the month

·        retail price cap (MRP)

·        the size of the commodity, if applicable

·        Name and contact information for the person in charge of dealing with customer complaints.

The statement or labelling varies depending on the product. It must be printed in either English or Hindi, and there are rules governing how to highlight or attach the declaration to the packaging as well as specific guidelines for each information point.

In the absence of a valid LMPC certificate, customs authorities have the right to hold the imported goods. Therefore, the importer must possess such a licence and adhere to the declaration requirements prior to the shipment's arrival in India.

Rules for breaking rules and their consequences

·        A monetary fine will be assessed for any violation of the Legal Metrology (Packaged Commodities) Rules:

·        In the event of a violation of the rules cited in rules 27 to 31, Rs. 4000.

·        If another provision listed under rules 27 to 31 is broken but no penalty has been specified, the fine is Rs 2000.

·        If the applicant requests an LMPC certificate more than 90 days after the import's start date, the fee is Rs. 5000.

·        In the event of a subsequent offence, the defaulters must take some sort of action in addition to paying a fine.

·        If qualifying words like "manufactured by" or "packed by" are missing from the label of imported goods, the manufacturer will be fined accordingly.

Exemptions

For the following, an LMPC certificate is not legally required:

·        products with a net weight of no more than 10 g or 10 ml

·        agricultural products packaged in weights greater than 50 kg

·        packages with fast food items that have been put together by a hotel or restaurant

·        Drugs (Price Control) Order, 1995-compliant package form formulations

The following items are also exempt from the provisions of Chapter 2 of the Legal Metrology Act, which contains standards for packages intended for retail sale:

Excluding fertilisers and cement, packages containing goods weighing more than 25 kg or 25 l are available in bags weighing up to 50 kg.

packaged items primarily intended for institutional or industrial consumers (those who buy products directly from manufacturers for use in a specific industry) (service institutions such as railways, airways, hotels, and hospitals).

Summary

The aforementioned information makes it clear that obtaining an LMPC certificate is a necessary requirement for importers of pre-packaged goods. Any failure to comply with such a requirement could result in penalties for the violators. Additionally, it is advisable to adhere to the Legal Metrology Act, 2009, whether it be through labelling standards compliance or necessary disclosure to the relevant authority.

Also read: 1) Important Information about LMPC Registration

                   2) Documents Required in the registration procedure