Basics
- Definition: Pink Tax is not an actual government tax but a pricing phenomenon where products and services targeted at women cost more than those for men.
- Origin: Term believed to have originated in California, 1994.
- Global Example: US studies show women’s personal care products are ~13% costlier than men’s.
Relevance : GS-II (Women’s Rights, Gender Justice, Consumer Protection), GS-III (Economic Empowerment of Women).
Why in News
- Growing awareness in India after the 2018 GST exemption on sanitary napkins/tampons.
- Recent discussions highlight how gender-based pricing affects household savings and women’s economic participation.
Overview
- Polity/Legal
- No dedicated Indian law against Pink Tax.
- NCDRC ruling: Companies must follow fair pricing, avoid gender-based discrimination.
- Relates to CEDAW (Convention on Elimination of Discrimination Against Women) commitments.
- Governance/Administrative
- Lack of regulatory guidelines on gender-neutral pricing.
- Need for Consumer Protection Authorities to take proactive role.
- Economy
- Increases cost of living for women despite gender wage gap (India’s women earn ~20–30% less on average).
- Reduces disposable income, impacting savings and consumption patterns.
- Society
- Reinforces stereotypes via “pink packaging” and gendered marketing.
- Burdens households where women are non-earning members.
- International
- US & UK: Studies confirm systemic higher costs for women’s products (deodorants, clothing, dry cleaning).
- UN (2017): Called on states to end gender-based price discrimination.
Challenges
- Low awareness: ~67% of Indians have never heard of Pink Tax (IFSA study).
- Cultural acceptance of gendered marketing.
- Weak regulatory monitoring.
- Lack of affordable gender-neutral alternatives.
Way Forward
- Legal/Policy:
- Draft gender-neutral pricing guidelines under Consumer Protection Act.
- Consider anti-discrimination provisions under Competition law.
- Awareness: Consumer education on comparing unit costs, demanding fair pricing.
- Market Solutions: Promote gender-neutral brands and unisex services (salons, clothing).
- Global Best Practices:
- Some US states banned gender-based pricing in services.
- EU consumer advocacy campaigns for transparency.
Conclusion
The Pink Tax highlights a subtle but systemic form of gender inequality in markets. India needs a mix of legal safeguards, consumer awareness, and industry responsibility to ensure fair pricing and protect women’s economic rights.
