UN Guidelines for Consumer Protection and CRPL by Indrani Thuraisingham

1. Bangladesh Quality Support Programme Funded by: EU and NORADImplemented by: UNIDOConducted by: Consumers International Kuala Lumpur Office (CI KL)In cooperation with:Consumers Association of Bangladesh (CAB) & Government of Bangladesh UN Guidelines for Consumer Protection and CRPL by Indrani Thuraisingham Head, Consumers International Kuala Lumpur Office

2. Overview on consumer protection: • Consumer Protection System • Policies, laws, institutions and structures that form the framework for a consumer protection system • UN Guidelines • Consumer Protection policy and law • Consumer Protection Agencies/Organizations • Consumer Redress

3. Overview on consumer protection contd... • Consumer Protection in the Marketplace • Various transactions that consumers enter in a market economy • Consumer information • Product safety and liability • Consumer credit • Insurance • Electronic commerce

4. UN Guidelines for Consumer Protection • - Adopted by the UN General Assembly in 1985 and amended in 1999 • - Contains the essential elements of comprehensive consumer protection • = Provides an international policy framework for governments to to use and strengthen consumer protection policy and legislation aimed at promoting consumer welfare • Objective • Assist countries in the protection for their population as consumers by improving production and distribution patterns; encouraging ethical conduct by traders; and curbing abusive business practices

5. UN Guidelines for Consumer Protection contd.. • Legitimate needs covered by the Guidelines: • – The protection of consumers from hazards to their health and safety • – The promotion and protection of the economic interests of consumers • –Access of consumers to adequate information to make informed choices • – Consumer education

6. UN Guidelines for Consumer Protection contd... • _ Availability of effective consumer redress for loss caused by wrongful acts of traders • _ Freedom to form consumer and other relevant organizations and to be able to present views in processes affecting consumers • – the promotion of sustainable consumption patterns

7. CRPL viz-a viz UN Guidelines Right to basic needs UN Guidelines 'Governments to take measures...... easy access to essential goods and services' ....give priority to areas for the health of the consumer...... - includes provision on food security -improve the quality and appropriate use of pharmaceuticals through national policy -develop, maintain and strengthen national policies to improve the supply, distribution and quality of drinking water -encourages the establishment of consumer cooperatives in rural areas

8. Right to basic needs CRPL Art 15 of Constitution- ' it shall be the responsibility of the state to attain..... the provision of basic necessities of life , including food, clothing, shelter, education and medical care....' Recommendations ~ National CRP Council should develop a 5 year action plan to identify critical areas of access to essential needs , identify strategies and engage in public education ~The government should urgently support the development of independent consumer groups, bazaar committees, student consumer clubs and complaint cells- appropriate policies, funds, syllabus n training materials, programs

9. CRPL viz-a viz UN GuidelinesRight to safety • UN Guidelines • 'Governments to adopt measures...legal systems,safety regulations, standards to ensure products are safe......and standards for the safety and quality of consumer goods and services. • - Safety information should be conveyed to consumers • - adoption of policies to ensure that manufacturers compensate for defective or hazardous products • -promote and formulate standards and review them periodically • -availability of facilities to test and certify safety , quality n performance of goods n services

10. Right to safety • CRPL • Product liability (producer n seller)-lost value of defective product. • Liability for performance of defective services • BUT • No warranty liability • Liability for seller can be avoided if 'innocent' • No criteria or standard for measuring 'satisfactory services' Recommendations ~ Amended to incorporate standard international concept of strict liability and prevent liability shifting through contractual means ~Incorporate provisions of unfair contract terms/unfair conduct

11. CRPL viz-a viz UN GuidelinesRight to choice UN Guidelines 'Government to provide an enabling framework under which consumers can obtain optimum benefits from their available economic resources'.... and ' government should encourage fair and effective competition.....provide consumers with greatest range of choice of products and services, at the lowest cost'. - Control of restrictive business practices -goods that meet standards of durability, reliability n fit for purpose n availability of reliable after sales service - regulation of promotional markets and sales and unfair contract terms - legislation and enforcement of weights and measures

12. Right to choice • CRPL • S 2(20)- Anti consumer rights practices • However,at marketplace, information to consumers on products are partial, confusing or misleading. • Lack definition of 'misleading' or 'unfair' advertisement • Lacking in institutional arrangements for adequate monitoring and enforcement Recommendations ~Government provide incentives for those who place goods n services on market provide timely and accurate information to consumers- through product standards

13. CRPL viz-a viz UN GuidelinesRight to information UN Guidelines 'Government should encourage all concerned to participate in the free flow of information on all aspects of consumer products' - information on quality, quantity, potency, purity, standard, price , proper use and associated risks of products -information on available redress and other dispute resolving procedures

14. Right to information CRPL Without any comprehensive regulations or definite guidelines, consumers are not able to make proper use of the information provided. Poor dissemination of information due to lack of effective institutional mechanisms , particularly to illiterate and disadvantaged consumers prevent them from asserting their rights. Recommendations ~Strengthen mandatory labelling ~Government at national, divisional and district level to provide resources and mechanisms to develop effective delivery of user friendly information for all segments of society ~Government to encourage mass media to allocate time for consumer information

15. CRPL viz-a viz UN GuidelinesRight to consumer education • UN Guidelines • 'Government should encourage the development of general consumer education programs... to enable... discriminating consumers, capable of making informed choices and conscious of their rights and responsibilities' • - with special attention to disadvantaged and illiterate consumers • -introduce consumer education in formal education system • -consumer education programs should be delivered in the mass media • -business to undertake/participate in relevant consumer education programs • -to organise training programs for teachers, consumer organisations, mass media, professionals etc

16. Right to consumer education • CRPL • There is no clear-cut policy • No proper coordination of consumer education programs • Recommendations • ~ a systematic programme should be developed in collaboration with relevant agencies and civil society to implement consumer education programs through both formal in schools and higher learning institutions and informally targeting rural , illiterate consumers. • ~ Adequate provisions should be made in the budgets of agencies and provided by central government to ensure institutional mechanisms are provided to conduct training on regular basis • ~ Milestones for effective monitoring n assessment of programs

17. CRPL viz-a viz UN GuidelinesRight to redress • UN Guidelines • ' Government should establish or maintain legal/ administrative measures for consumers to obtain redress through formal or informal procedures that are fair, inexpensive and accessible' • ' Government to encourage all enterprises to resolve consumer disputes and to establish voluntary mechanisms including advisory services and informal complaints procedures to assist consumers' • 'Information on available redress and other dispute resolving procedures should be made available to consumers on a regular basis'.

18. Right to redress • CRPL • Limitation – 30 days from the date of cause of action • If no criminal proceedings taken by Directorate within 90 days, consumer has no legal remedy and no justice as civil remedy for monetary compensation can only be taken if criminal procedure is initiated. • Indemnity from criminal proceedings • Absence of alternative/ informal dispute resolution mechanism • Recommendations • ~Small claims procedure/ tribunal for petty claims • ~ Government to support consumer organisations to act as consumer advice and complaint centres

19. CRPL viz-a viz UN GuidelinesRight to representation • UN Guidelines • ' Government should facilitate the development of independent consumer groups to represent interests of consumers in policy making bodies affecting consumers and in the development of products and services ' • 'Opportunities to be provided to consumer groups to present their views in decision making processes.'

20. Right to representation • CRPL • - Representation of consumer voice imbalanced as Chairman of CAB potentially the only consumer voice in the NCRP Council although there are provisions for appointing three eminent citizens. • - no clear resource support from government for an independent consumer movement • Recommendations • ~Balance between producer, consumer and bureaucratic interest to be struck on appointment of members to the Council • ~Consumer groups should network and increase cooperation among themselves and other like minded NGOs under a national platform • ~strengthen legislative and resource requirements to ensure independent consumer movement

21. CRPL viz-a viz UN GuidelinesRight to a healthy environment • UN Guidelines • 'Government to ensure that resources used in production and consumption of products and services should be utilised in a healthy and ecologically sound manner through government policy and legal measures'. • ' Government should encourage design,development and use of products and services that are safe and energy and resource efficient,considering their full life-cycle impacts'. • ' Government should encourage recycling programs to recycle wastes and purchase recycled products.... and promote research to identify ways to make consumption patterns more sustainable'.

22. Right to healthy environment CRPL -Lack of awareness by consumers of their rights and responsibilities on practising sustainable consumption -Corruption in public administration -Indifference on the part of the industry Recommendations ~Government to adopt measures for safe manufacturing processes, handling & disposal waste products and enabling environment for consumers to make informed decisions when purchasing products and services that is sustainable and ecologically sound through enforcement of laws n standards. ~ the NCRP council to undertake and commission research relating to protection of consumers interests and achievement of sustainable consumption

23. Conclusions End goal for consumer law is to increase fairness and equality among consumers and to give consumers the information they need to make good choices Consumers must raise their voices and participate, either through active participation in consumer organisations or through other groups. If not, rights of consumers will only remain textbook material.

24. . Thank you