Labelling norms: Useful reforms can be delivered in tiny packages

Process rejigs such as making rule-changes for pack labelling less unpredictable would aid business planning and save costs

- SANJEEV SANYAL & ADITYA SINHA

With the incoming Trump administration's new Department of Government Efficiency under Elon Musk and Vivek Ramaswamy in the US, the issue of government efficacy is in focus. India has been steadily leading its own quiet revolution through rigorous process reforms, systematically streamlining governance and dismantling bureaucratic red tape.

In a complex world of regulations and policy, it is often forgotten that simple process reforms can have a very large impact. Process reforms are practical, targeted adjustments to streamline regulations or procedures within specific activities or sectors. These are microeconomic refinements, focused on addressing particular issues through a series of minor yet impactful changes. Unlike broad structural reforms that reshape the economic framework, process reforms leave the basic architecture intact, allowing for iterative improvements through feedback loops that can yield substantial cumulative effects. One such area in need of process reforms are India's labelling regulations.

The objective behind packaging and labelling rules is to ensure that customers have information on the contents before purchase. However, multiple regulations and frequent changes can cause inefficiencies.Three issues need to be addressed.