Nepal Gutkha Khaini Sales Banned: MRP Violations by Trading Concerns
16th April 2025, Kathmandu
The Department of Commerce, Supplies, and Consumer Protection has taken strong action against two businesses by halting the sale of gutkha and khaini products. The decision follows the Consumer Protection Act, 2075, and the Consumer Protection Regulations, 2076.
Nepal Gutkha Khaini Sales Banned
Inspection and Findings
On Tuesday, the Consumer Protection and Supply Monitoring Section conducted inspections and discovered violations. Shree Pashupati Trading Concern and Pashupatinath International Business were found to be breaching consumer rights. As a result, the department issued immediate instructions to both businesses.
Shree Pashupati Trading Concern’s Violations
The department inspected Shree Pashupati Trading Concern in Kathmandu Metropolitan City-17. They found that the business had failed to display the Maximum Retail Price (MRP) on their products. The department instructed the business to ensure all products show the MRP. They also ordered the company to submit related documents within three days.
Pashupatinath International Business Under Scrutiny
In another case, Pashupatinath International Business, located in Lalitpur Metropolitan City-2, was found distributing several gutkha and khaini products. The products included Current Gutkha, Bhola Gutkha, Bhola Power Khaini, and Jit Khaini. The department collected samples of these products. They suspended their sale and gave the business three days to submit all necessary documents.
Legal Grounds for Action
The department acted based on Section 33 (3) of the Consumer Protection Act, 2075. This section protects consumer rights and ensures businesses follow regulations. The department emphasized that businesses must abide by the law to protect consumer interests.
Penalties and Additional Actions
During the same inspection, the department took further action. They penalized two more businesses. The department suspended the sale of Current Gutkha, Bhola Gutkha, Bhola Power Khaini, and Jit Khaini. Those businesses were also ordered to submit documents for review.
Pashupatinath International Business Faces Further Issues
The department also found problems at Pashupatinath International Business. The company had distributed gutkha and khaini products that did not meet legal requirements. There were also weight discrepancies in some of the products. The department directed the business to halt operations nationwide. The company must submit all required documents within three days.
Action Against Shree Pashupati Trading Concern
Likewise, Shree Pashupati Trading Concern in Kathmandu was also instructed to submit their documents within three days. This action follows an earlier inspection on Sunday. During that inspection, Anand Traders in Kathmandu-22 was fined NPR 200,000 for not following labeling rules. The department also suspended the sales of True Pharmacia and Skin Pharmacy in Budhanilkantha after collecting product samples.
Ongoing Efforts by the Department
Under the guidance of the Minister of Industry, Commerce, and Supplies, Damodar Bhandari, the department continues to monitor market activities. They are focused on enforcing consumer protection laws to ensure businesses comply.
MRP Labeling Becomes Mandatory
The government has now made it compulsory for all products sold in the market to display the Maximum Retail Price (MRP). Businesses failing to meet this requirement will face penalties. The department has already started cracking down on those who do not follow this regulation.
For more: Nepal Gutkha Khaini Sales Banned
