Increasing the grammage of various products instead of an outright price cut post a reduction in GST rates won’t result in flouting the anti-profiteering clause under the GST norms. However, the benefits have to passed onto the consumers at the SKU level.
According to B N Sharma, chairman of the National Anti-Profiteering Authority (NAA), who was talking to various members of the Merchants’ Chamber of Commerce and Industry at an interactive session in Kolkata, although the law mandates that companies have to cut prices on goods if the GST is lowered for those products, in “spirit of the legislative intent”,