Section 36 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 36 is the main penalty section for packaged goods. Sub-section (1) punishes dealing in a pre-packaged commodity that does not conform to the declarations on the package, and sub-section (2) punishes manufacturing, packing or importing a package with an error in net quantity. It is not amended by the Jan Vishwas (Amendment of Provisions) Act, 2023. The Jan Vishwas (Amendment of Provisions) Act, 2026 would rewrite both sub-sections, bringing e-commerce platforms into sub-section (1), from its notified date.
Section 36(1) punishes anyone who manufactures, packs, imports, sells, distributes, delivers, offers, exposes or possesses for sale a pre-packaged commodity that does not conform to the declarations on the package: fine up to Rs 25,000, then up to Rs 50,000, then Rs 50,000 to Rs 1 lakh or imprisonment up to one year or both. Section 36(2) punishes a net-quantity error above the prescribed limit: fine of Rs 10,000 to Rs 50,000 and more for repeats. The 2026 Act (enacted; in force only from the notified date) adds an improvement notice and e-commerce wording.
The duty behind the penalty
Section 36 enforces section 18, which forbids dealing in a pre-packaged commodity unless the package is in the standard quantity and carries the prescribed declarations. The declarations themselves are in the Legal Metrology (Packaged Commodities) Rules, 2011 (as amended up to March 2022). Food packages defer to the Food Safety and Standards Act, 2006 for some declarations under the rule 6(1) Explanation III and provisos, so check both regimes; our FSSAI label compliance service covers the label side for packaged food.
Sub-section (1): non-conformity with declarations
Section 36(1) covers "whoever manufactures, packs, imports, sells, distributes, delivers or otherwise transfers, offers, exposes or possesses for sale, or causes to be sold, distributed, delivered or otherwise transferred, offered, exposed for sale any pre-packaged commodity which does not conform to the declarations on the package as provided in this Act".
| Point | Explanation |
|---|---|
| Wide net | Every step in the chain, from making to shelf, is covered |
| Trigger | The package "does not conform to the declarations on the package as provided in this Act" |
| Who is liable | The person who did the listed act; for a label naming a manufacturer, rule 6(1)(a) Explanations I and II of the Packaged Commodities Rules address who is taken to be the manufacturer and who is prosecuted first |
Sub-section (2): error in net quantity
Section 36(2) covers "whoever manufactures or packs or imports or causes to be manufactured or packed or imported, any pre-packaged commodity, with error in net quantity as may be prescribed".
- It is aimed at the maker, packer and importer, not the retailer.
- The permitted error is "prescribed": section 52(2)(q) gives the Central Government the power to prescribe "the error in net quantity under sub-section (2) of section 36". In the Packaged Commodities Rules, rule 22 makes the maximum permissible error the one in the First Schedule, taking account of unavoidable weighing deviation, ordinary exposure to climate, transport and storage, and variation from the packaging material. Rule 23 deals with deceptive packages. Each has its own article in this series.
The penalty, layer by layer
Section 36(1)
| Layer | Penalty |
|---|---|
| 1. As enacted in 2010 (not changed by the 2023 Act) | Fine up to Rs 25,000; for the second offence, fine up to Rs 50,000; for the subsequent offence, fine not less than Rs 50,000 but up to Rs 1 lakh, or imprisonment up to one year, or both |
| 2. 2026 Act (Act 8 of 2026; in force only from the date the Central Government notifies; check the notification) | Sub-section (1) substituted: the person "shall be warned with an improvement notice"; for the second offence "liable to penalty which may extend to five lakh rupees"; for subsequent offences "the fine shall not be less than twenty-five lakh rupees but may extend to fifty lakh rupees" |
Section 36(2)
| Layer | Penalty |
|---|---|
| 1. As enacted in 2010 (not changed by the 2023 Act) | Fine not less than Rs 10,000 but up to Rs 50,000; for the second and subsequent offence, fine up to Rs 1 lakh or imprisonment up to one year, or both |
| 2. 2026 Act (same status) | Fine not less than Rs 10,000 but up to Rs 1 lakh; second offence, fine up to Rs 5 lakh; third or subsequent offence, fine up to Rs 50 lakh or imprisonment up to one year or both |
The 2023 Act's item for the Legal Metrology Act does not amend section 36, so the 2010 text stands today. The 2026 Act raises the ceilings by a large factor, and on sub-section (1) removes the imprisonment limb. It is enacted but has no effect until notified.
The e-commerce limb in the 2026 text
The substituted sub-section (1) adds "including through digital modes of sale such as e-commerce platforms, online market places or any other digital or electronic means including electronic service providers facilitating such sales". An Explanation says "e-commerce" and "electronic service provider" have the meanings in clauses (16) and (17) of section 2 of the Consumer Protection Act, 2019. On that text, a platform facilitating sales would come within the section. This is not in force until notified. Until then, our guides on legal metrology applicability to e-commerce and e-commerce labelling rules describe the existing position.
Who is liable in practice
| Person | Sub-section (1) | Sub-section (2) |
|---|---|---|
| Manufacturer or packer | Yes | Yes |
| Importer | Yes | Yes |
| Wholesaler or distributor | Yes ("sells", "distributes", "delivers") | No (not listed) |
| Retailer | Yes ("offers, exposes or possesses for sale") | No |
| E-commerce seller | Yes, today, as a seller; platform wording only after the 2026 Act is notified | No |
Compounding: the rule 32A sums
Section 36 is compoundable under section 48: the Director may compound sections 27 to 39 (section 48(2)) and the Controller sections 33 to 37 (section 48(3)). The Packaged Commodities Rules, rule 32A (as amended up to March 2022; check later amendments) fixes the sums for section 36:
| Offence | Retailer or wholesale dealer | Manufacturer or importer |
|---|---|---|
| Contravention of section 36(1) | Rs 5,000 | Rs 25,000 |
| Contravention of section 36(2) | Rs 10,000 | Rs 50,000 |
The sum cannot exceed the maximum fine for the offence (section 48(3), proviso), and compounding is not available for the same or a similar offence within three years of the earlier compounding (section 48(4)). See our articles on compounding of offences and section 48. The 2026 Act would restate section 48; until notified, the existing text applies.
Seizure and forfeiture
Packages made in contravention of section 18 and seized under section 15 are liable to forfeiture to the State Government under section 16(1). Rule 23 of the Packaged Commodities Rules separately requires a deceptive package to be repacked and re-labelled, failing which it is seized.
Example 1. A retailer stocks sealed packets with no net quantity declared. Section 36(1) applies to him as one who "possesses for sale". A first offence is a fine up to Rs 25,000 today.
Example 2. A packer fills 500 g packs that are consistently under the permitted error. Section 36(2) applies to the packer; the fine is at least Rs 10,000 and up to Rs 50,000 for a first offence.
Need help with a packaged-goods notice?
If your packs have been sampled or seized, or a notice cites section 36, the label, the quantity and the batch records all matter. Our FSSAI label compliance team can review your declarations against the Packaged Commodities Rules and the food labelling overlap. Bring the notice, sample packs and batch records.
Key takeaways
- Section 36(1) punishes dealing in pre-packaged commodities that do not conform to the declarations; section 36(2) punishes net-quantity error by makers, packers and importers.
- The 2023 Act does not amend section 36: 2010 fines stand today (up to Rs 25,000 first offence under (1); Rs 10,000 to Rs 50,000 under (2)).
- The 2026 Act would introduce an improvement notice, e-commerce wording and far higher ceilings, but only from the notified date.
- Rule 32A of the Packaged Commodities Rules sets compounding sums (Rs 5,000/Rs 25,000 for (1); Rs 10,000/Rs 50,000 for (2)).
- Forfeiture, seizure and repacking under rule 23 may also follow.
Read next
- Section 18 of the Legal Metrology Act, 2009: Declarations on pre-packaged commodities
- Sections 34 and 35 of the Legal Metrology Act, 2009: Penalty for sale or service by non-standard measure
- Section 48 of the Legal Metrology Act, 2009: Compounding of offences
- Mandatory Declarations on Pre-Packaged Commodities
Disclaimer: Based on the Legal Metrology Act, 2009 (Act 1 of 2010) as enacted, read with the Jan Vishwas (Amendment of Provisions) Act, 2023 (in force; it does not amend section 36) and the Jan Vishwas (Amendment of Provisions) Act, 2026 (Act 8 of 2026; its changes to section 36 apply only from the date the Central Government notifies), and the Legal Metrology (Packaged Commodities) Rules, 2011 (as amended up to March 2022; check later amendments), as on 30 September 2026. State Legal Metrology rules, later amendments and notifications change; verify the current position before acting.