Mon, 26 Aug 2002

Govt to impose checks on products

Adianto P. Simamora, The Jakarta Post, Jakarta

The government will field special investigators to ensure that labeled goods sold at local markets are what they say they are.

The new policy is stated in the Ministry of Industry and Trade's draft decree, which is expected to be issued this week.

The decree will be part of regulations to implement Consumer Protection Law No. 8/1999, which seeks to protect consumers from irresponsible producers or traders.

The inspectors, who will be recruited from among staff at the ministry and the various regional governments, will be trained by the police, but will report to the ministry's directorate general of domestic trade.

Director General For Domestic Trade Ardiansyah S. Parman, said the ministry would initially train 60 investigators.

"We have already set up a team of inspectors, who will be placed in several provinces. They will purchase products secretly and regularly to inspect their quality," Ardiansyah told The Jakarta Post on Friday.

He said the supervision was aimed at ensuring both imported and locally made products meet government-set standards.

"We want to assure consumers that the quality of products sold at local markets is in accordance with the quality promised by producers," Ardiansyah said.

Under Article 8 of the Consumer Protection Law, all producers and traders are banned from producing and marketing products and services that do not meet standards set by the government.

Producers and traders are also forbidden to deceive consumers by falsifying the quality of their products.

Violators are threatened with five years in jail or a maximum fine of Rp 2 billion (US$200,000), in addition to the revocation of their business permit.

Sources at the ministry said investigators would initially focus on 10 products, namely sugar, fertilizer, wheat flour, tire casing, cement, electronics, energy-efficient lamps, zinc and reinforced concrete steel.

Ardiansyah said producers and importers who sell their products in the country must meet the government's rulings with regards to labeling, marketing, advertising and after-sales service.

On the labels, for example, the company must print the name of the product, its specification, volume, and the identity of producers and importers. The products should also carry labels issued by the state-owned National Standardization Agency of Indonesia (SNI).

With regards to long-term products, producers and traders have to provide a guarantee of at least one year.

Many electronic products are now being sold on the local market without guarantee. These are suspected to be smuggled products.

"If a company declares the quality of its products and prints it on the label, it must be held responsible," Ardiansyah said.

According to him, many local buyers remain ignorant about product guarantees and quality and do not know whom to report to when disappointed.

But now, Ardiansyah said, if there is such a case, consumers can file complaints via his office and inspectors will covertly purchase the same product and test it at a laboratory.

Meanwhile, Lee Kang Kyung, general manager of PT Samsung Electronic Indonesia voiced doubts over the government's ability to implement such a scheme due to lack of human resources.

"I welcome the plan, but I doubt the Ministry of Industry and Trade's capability of carrying it out," Lee told The Post on Sunday.

However, Lee admitted such a move could help reduce the influx of illegally imported products and boost the quality of locally made products.