Yojana - December 2017 - Consumer Protection & Awareness

(Articles Covered - Consumer Protection & Consumer Satisfaction)

Who is a Consumer?
A person who purchases goods and services for personal use.
Under the Consumer Protection Act 1986, the word Consumer has been defined separately for the purpose of goods and services.
(a) For the purpose of goods, a consumer means (i) one who buys any goods for consideration; and (ii) any user of such goods other than the person who actually buys it, provided such use is made with the approval of the buyer.
(b) For the purpose of services, a consumer means (i) one who hires any service or services for consideration; and (ii) any beneficiary of such service(s) provided the service is availed with the approval of such person.
Consumer Protection
Consumer protection means safeguarding the interest and rights of consumers. In other words, it refers to the measures adopted for the protection of consumers from unethical malpractices by the business and to provide them speedy redressal of their grievances.
The most common business malpractices leading to consumer exploitation are given below.
• (a) Sale of adulterated goods (Adulteration usually refers to mixing other matter of an inferior and sometimes harmful quality with food or drink intended to be sold. As a result of adulteration, food or drink becomes impure and unfit for human consumptioneg red chilli powder is mixed with brick powder)
• (b) Sale of spurious goods(As per The Consumer Protection Act, 1986 “spurious goods and services” mean such goodsand services which are claimed to be genuine but they are actually not so.eg fairness cream)
• (c) Sale of sub-standard goods(below standard or less than adequate)
• (d) Sale of duplicate goods
• (e) Use of false weights and measures leading to underweight
• (f) Hoarding and black-marketing(hoarding is the practice of obtaining and holding scarce resources, with the intention to sell to customers on a high profit in future, Black Marketing isan illegal traffic or trade in officially controlled or scarce commodities.)
• (g) Charging more than the Maximum Retail Price (MRP) fixed for the product.
• (h) Supply of defective goods
• (i) Misleading advertisements (eg fairness cream)

Need for Consumer Protection
• Increasing Awareness
• Consumer Satisfaction
• Principle of Social Justice
• Survival and Growth of Business
Rights of consumers
1. The Right to be heard:
The consumer has the right to be heard if he has any complaint or grievance regarding the good or service received. This implies that consumers’ complaints and grievances must receive due attention and consideration at an appropriate forum.
2. The Right to safety:
The consumers are entitled to protection of their health and safety from the goods and services they buy. They should not be supplied goods or services which are hazardous to their health and safety.
3. The Right against exploitation:
This covers right to protection from unfair trade practices and unscrupulous exploitation of consumers by charging excessive prices by suppliers of goods or services.
4. The Right to be informed:
This implies that consumers should be given correct and full information about the quality of goods that they buy. They should be provided information about the ingredients of the product, freshness of the product, any side effects that may occur as a result of consumption of a commodity. This right applies especially to the drug manufacturers and suppliers.
5. The Right to choose:
This implies that consumers should be provided a variety of products from which they can make a choice of their liking. The opportunity to choose from limited options restricts their right to choose.
6. The Right to get redress:
This implies that consumers’ complaints and grievances about the products and services supplied to them must be redressed. That is, they should not only be heard but their complaints must be redressed and compensated adequately.
In India, the Consumer Protection Act 1986 was passed which was later amended in 2002, wherein most of the consumer rights have been provided and mechanism for redressal of their complaints have been put in place.
Ways and Means of Consumer Protection

• LokAdalat is one of the alternative dispute redressal mechanisms, it is a forum wheredisputes/cases pending in the court of law or at pre-litigation stage are settled/ compromised amicably.
• Public Interest Litigation is directly filed by an individual or group of people in the supreme court. It is a new legal horizon in which court of law can initiate and enforce action to serve and Secure significant Public Interest
• INGRAM:-The Department of Consumer Affairs has launched the portal an integrated Grievance Redress Mechanism (INGRAM), Thisportal will also help in creating awareness among consumers to protect their rights and inform them of their responsibilities. Consumers can register online their grievances through this portal.
• GAMA:-This website has been launched by the Department of Consumer Affairs to create awareness about misleadingadvertisements and serve as a central registry for lodging complaints against misleading advertisements.
• Online dispute resolution (ODR) is a branch of dispute resolution which uses technology to facilitate the resolution of disputes between parties. It primarily involves negotiation, mediation or arbitration, or a combination of all three. In this respect it is often seen as being the online equivalent of alternative dispute resolution (ADR).[1] However, ODR can also augment these traditional means of resolving disputes by applying innovative techniques and online technologies to the process.
• Smart Consumer Application:-Department of Consumer Affairs, Government of India, and Food Safety & Standards Authority of India (FSSAI) via this app provides consumers in India access to product labelling information required under Legal Metrology (Packaged Commodities) Rules 2011, and FSSAI license information.Simply scan the product barcode and get access to manufacturing details and many more.
• Online Consumer Communities:-The platform will serve as a communication channel for the Dept. of Consumer Affairs to create awareness about issues that affect consumers. The live community will help consumers in addressing their grievances with brands and companies.
• Consumer organizations are advocacy groups that seek to protect people from corporate abuse like unsafe products, predatory lending, false advertising, astroturfing and pollution. Consumer organizations may operate via protests, litigation, campaigning, or lobbying.

Legislative Initiatives of India towardsProtection of Consumer

• Consumer Protection Act, 1986
• Bureau of Indian Standards Act, 1986(Replaces Indian Standards Institution Act,1951)
• Setting up of Department Of Consumer Affairs, 1991
• Consumer Welfare Fund, 1992
• Establishment of Competition Commission of India
• Food Safety and Standards Act, 2006
• Introduction of Consumer Protection Bill, 2015

Centre for Consumer Studies
The Department of Consumer Affairs, Ministry of Consumer Affairs, Food, and Public Distribution, GoI, has established a dedicated Centre for Consumer Studies (CCS) at the Indian Institute of Public Administration (IIPA), New Delhi. The Centre operates within the legal framework of the IIPA and the policy directions of the Monitoring Committee chaired by the Secretary, CA, GoI. The role of the Centre is both operational as well as promotional. Centre for Consumer Studies (CCS) at Indian Institute of Public Administration aims to perform, facilitate and promote better protection of Consumers’ rights and interests with special reference to rural India.

By: Anupama Sharma