Price of bottled water unjustly increased to Rs 20 following HC stay

KOCHI: After the High Court stayed the government order capping the price of bottled water to Rs 13, companies have increased it by Rs 7 per litre. From yesterday, the price of a litre of bottled water has been increased to Rs 20 again. At the same time, the government product 'Hilly Aqua' is available at Rs 10 per litre.

The High Court on Wednesday stayed the government order. The price was capped at Rs 13 in March 2020, by including drinking water under the purview of the 1986 Essential Articles Control Act. The Single Bench Order stated that drinking water falls under the purview of the Essential Commodities Act, 1955 and the Central Government has the power to set the price.

The companies claim that the cost of manufacturing the water bottle, bottle cap and label is huge and that the reduction in price has cost them millions.

On selling a litre of water

At the rate of Rs 13

(Pack of 12)

Given to merchants at 90-100 rupees. (7.50 to 8.50 per bottle)
The distributor gets 90 paise to Rs 1 per bottle
The seller gets: Rs. 4.70

At the rate of Rs 20

(Pack of 12)

Merchants pay: Rs 130 (10 rupees 80 paise per bottle)
The distributor gets Rs. 30 paise per bottle
The seller gets: Rs 8.30