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CONSUMER MOVEMENT IN ROMANIA

CONSUMER MOVEMENT IN ROMANIA. Presentation for ECCG meeting, 1 3 March 2014, Emil Bojin. 1919-1929: The Consumers League: a cooperative, protection of economic interests 1990: the first modern consumer organisation: Consumers Protection Association (APC).

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CONSUMER MOVEMENT IN ROMANIA

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  1. CONSUMER MOVEMENT IN ROMANIA Presentation for ECCG meeting,13 March 2014, Emil Bojin

  2. 1919-1929: The Consumers League: a cooperative, protection of economic interests • 1990: the first modern consumer organisation: Consumers Protection Association (APC). • Before, in the planned economy: regulations on food quality, home appliances. Consumers vs. State. • APC first activities: to make complaints

  3. 1992: • Office for Consumers Protection is established • The first law on consumers rights (according to the U.N. Guidelines, promoted by Consumers International) • Young free market, old mentalities (county prefect asks PM for help selling potatoes, Gov imports a fleet of sugar)

  4. The ’90s: the transition • Consumers concerns: poor quality of food products and of imported goods (expired, counterfeit), high prices • Old authorities disappeared, new ones not efficient yet. • An opinion pool of 1994 asked who is protecting the consumers; results : justice 12%, authorities 24%, police 43%.

  5. The ’90s: the transition • Large inflation rate: over 100%. • Traders rarely admited any responsibility (it’s producer’s) , widespread labels: "sold goods are not taken back". • A pyramid Ponzi scheme totally new for the common citizen • Skilled western advertisers towards naive eastern consumers. • Public services: textbook examples of monopolies.

  6. The 90s- 2000s: • APC projects financed by EU, CI, Soros, Germany, foundations: leaflets, market studies,small comparative tests, campaigns, courses • 1994: the Ecological University in Bucharest, first course on consumer education • Local consumer groups – processing complaints

  7. Problems with NGOs: •     set-up with foreign aid •     set-up by authorities •     set-up by individuals looking for profit • Problems with consumers : •      lack of enthusiasm for public interest •     no time for voluntary work •      young people look for employment •     old people with obsolete attitudes (one inspector/shop)

  8. 2007 - today: • Romania joins European Union • National regulations according to European law (hundreds of legislative acts today) • Large international companies enter local market, bring international products and attitudes • Local traders modernize • The market is affluent • Growth rate +8,5% in 2008, -6.5% in 2009, +3,5% in 2013 • Consumer credit boom

  9. APC today: • Staff: 7 employees • Sources of income: public funding (European Commission and Romanian Government), membership fees, private funding (specific projects) • Members in 2013: 181 paying, 25,000 non-paying members • Main activities: consumers information and advice, comparative testing (ICRT member C), consumer representation and advocacy, consumer education • APC has 18 branches, cooperates with 7 local consumer associations

  10. Member of BEUC, Consumers International, ECCG, International Consumer Research and Testing , Trans-Atlantic Consumer Dialogue • Represents consumers in: • consultative bodies (standardization, laboratories, competition, trade etc.) • parliamentary commissions; • ministry commissions • Policy making: opinion on ANCP drafts

  11. Successful projects: • It is your right, act! • ECC • Family budget • All about APR • Trusted: certification mark for e-shops Totul despre D.A.E.

  12. APC today: • since 2008, the host organisation of ECC Romania • website visits in 2013: • APC: 18,990 • ECC Romania: 26,229 • Family Budget : over 200,000 since 2008 • Advices: 22,000 • Complaints : 8140 • Media presence: 350 articles, 7 TV, 22 radio

  13. Other organisations: • about 80 local organisations, poor resources • Complaints, media presence (ANPCPPSR), finances (Conso.ro) • Many leader-oriented

  14. Current consumers concerns: • Most complaints about non-food products and services (guarantees, tourism) • Credit problems • Influenced by tabloid media (E-nnn ingredients, Codex Alimentarius) • Recent developments: • Traditional food shops vs. Hypermarkets • Protecting local traditions (AOC)

  15. EUROBAROMETER 2012: Most popular organisations are APC and ANPC (gov.)

  16. Classic Bucharest

  17. Modern Bucharest

  18. Country life Thank you !

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