Samuel Mungadze

The National Consumer Commission was launched last week with Rob Davies, the Minister of Trade and Industry, urging more innovation and competitiveness on products and services.

The commission was established as a result of the new Consumer Protection Act, effective from April 1, the same day it opens its doors to the public.

Davies lauded the commission, saying it would shield consumers against abuse.

“The Consumer Commission will be a key pillar in implementing the consumer protection legislation.

“The act requires that the commission plays an active and proactive role in strengthening consumer protection,” he said.

The act makes provision for a comprehensive and overarching consumer law of general application, that will regulate the interaction between businesses and consumers in the market place and provide more protection to consumers than was provided for in previous legislation.

The minister said that effective consumer empowerment would act as a catalyst spurring enterprises to raise their competitiveness, stimulate innovation and product and service choice.

The process to set up the commission dates back to 2004, when a national consumer survey sponsored by the Department of Trade and Industry revealed that South African is had very little information regarding their rights.

Mamodupi Mohlala, the national consumer commissioner, said the launch heralded a new era for consumer protection in South Africa.

“Today is a proud day for us as the National Consumer Commission, for we are at the threshold of a major consumer revolution, ushered in by the promulgation and coming into operation of the Consumer Protection Act on April 1,” she said.

Mohlala added that the new act would for the first time protect consumer rights in an uncompromising manner.

Davies said the survey had revealed the vulnerability of consumers.

“The survey revealed that this ignorance on the part of the majority of consumers, especially those in poor communities and those in rural areas, was leading to a host of abuses. These include misleading and bait advertising, the non-honouring of guarantees, abuse of information, nondisclosure, unfair contract terms and poor product quality,” Davies explained.

He said the key feature of the act was the recognition of the need for strong partnerships between the government and civil society.

With the new act, the nonprofit sector will be encouraged to provide face-to-face consumer protection services such as legal advice, counselling and mediation.

The act provides for the accreditation of consumer protection groups and support for activities such as consumer advice, education, publications, research and alternative dispute resolution through mediation and conciliation.