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Sunday, December 12, 2010

[T.S.R:16494] SC Destroys business model for Polyplex, Jindal Poly, Uflex and Garware Poly-Bans Use of Film For Packaging Gutka


The Supreme Court on Tuesday ordered a ban on the sale of tobacco products like gutkha and pan masala in plastic pouches from March 2011, while asking the government to conduct a survey on the ill effects of these products within eight weeks. 

A bench of justices G S Singhvi and A K Ganguly also asked the manufacturers to explore and decide by March next year on the alternative material for packaging them. The bench issued the directions while brushing aside the pleas of some of the gutkha manufacturers who feared that such a direction could lead to closure of thousands of gutkha and pan masala manufacturing units. 

"Let it come," the bench quipped when counsel for one of the manufacturers claimed that the whole industry would come to a standstill. Cigarettes, which are generally sold in paper packs, are out of the ambit of this ban.  While asking the government to conduct a survey on the ill effects of these tobacco products, the bench also asked it to examine the effects of packaging these products in plastics pouches over human health. 

The bench recorded an undertaking from Solicitor General Gopal Subramanium that the government would get the required survey done by the National Institute of Public Health on the harmful effects of gutkha, pan masala and other tobacco products and also the adverse effects, if any, of the plastic pouches used for packaging the material.

The bench also directed the Centre to finalise and enforce withing eight weeks the Plastic Management and Disposal Rules 2009.

 
Safe Harbor Statement:

Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints.
 
Nothing in this article is, or should be construed as, investment advice.
 
 
 

 
 



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