MUMBAI, May 22: The Monopolies and Restrictive Trade Practices Commission (MRTPC) has vacated the stay on the consumer promotion offer of one 125-mg Wheel Detergent Bar free with two one-kg packs of Kissan Annapurna salt, marketed by the Hindustan Lever Ltd (HLL).

According to a press released by HLL, certain interested quarters had deliberately distorted facts and had obtained an ex parte ad interim injection against the promotion offer on the one-kg pack of Annapurna Salt.HLL, on coming to know about the ex parte order, appealed to the MRTPC, seeking vacation of the stay order and highlighting the fact that the company had not increased the price of Annapurna salt after introducing the promotion offer.HLL has been marketing the one-kg pack of Annapurna salt at the price of Rs 5.50 in South and West India and at the rate of Rs 6 in North and East India since September 1996, while the promotion offer was introduced only in March 1997. Contrary to the allegations, the prices have not been increased but have been maintained at the same level during the consumer promotion. The price of the one-kg pack in the eastern and northern markets has been fifty paise more because of higher freight incurred in servicing the East and North Indian regions, which do not produce salt.

On the basis of HLL's petition, the MRTPC has now allowed the company to continue with promotion, without prejudice to the contentions and as an interim measure, but has asked it to keep the sale price of the one-kg pack across the country at Rs 5.50. HLL has also agreed to extend the promotion offer to a single one-kg pack, by giving 70 paise off from the sale price of Rs 5.50.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.