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JP/13/Cons

Govt to set up consumer protection agency

Adianto P. Simamora
The Jakarta Post
Jakarta

The government was planning to set up the National Consumer
Protection Agency (BPKN) to help protect consumers against
irresponsible producers or traders, a top official at the
ministry of industry and trade said.

The move is part of an effort to ensure that products sold at
local markets meet the standards set by the government.

"The role of the agency is very important to empower consumers
as many of them (consumers) remain ignorant about their rights on
the quality of goods," Rifana Erni, director general of domestic
trade affairs told the Jakarta Post last week.

She said that many consumers remained silent or did not know
where to report when they purchased defective products.

She added that consumers could file their complaints with the
agency after establishment.

She claimed that President Megawati Soekarnoputri had agreed
to the establishment of the planned agency.

The ministry has submitted the proposal to the House of
Representatives Commission V on trade affairs for approval.

"We have submitted the proposal, including the names of
experts on consumer protection to the House. We are now waiting
for the House's approval," Erni said.

The proposed experts who will run the agency include
Sampoerno, current chief of the Food and Drug Agency (POM), and
Tini Hadad, former chief of the Indonesian Consumer's Foundation
(YLKI).

The establishment of the agency is also part of the
implementation of Consumer Protection Law No. 8/1999.

Under Article 8 of the 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 from deceiving
consumers by falsifying the quality of their products.

Violators would face five years in jail or a maximum fine of
Rp 2 billion (US$224,719) in addition to the revocation of their
business permit.

Erni said that both producers and importers who sold their
products in the country must meet the government's rulings with
regard to labeling, marketing, advertising and after-sales
service.

She said that the company must print the name of the product,
its specification, volume and even the identity of producers and
importers.

"The products must also carry labels issued by the National
Standardization Agency of Indonesia (SNI)," she said.

For eyebox

Govt investigates illegal electronics

Some 196 brands of electronic products sold in Jakarta were
allegedly illegal products as they had not been listed with the
ministry of industry and trade, a senior official said.

"The 196 brands have not been registered with us yet. The
producers (or dealers) also did not issue owner's manuals or
guarantee cards when selling the products here," Budi Darmadi,
director of the inspection of goods and services at the ministry
said.

The products in question consist of 57 brands of video compact
disks (VCD) and digital video disks (DVD), 31 brands of radios,
29 television brands, 23 air conditioner brands, 11
refrigerators, 6 brands of washing machines, 3 makes of cellular
phones and 15 computer printers.

The ministry was now conducting an intensive investigation
into the case.

"We purchased both imported and locally made products secretly
to inspect the quality," Budi said.

"We want to ensure consumers that the quality of products sold
at the local markets is in line with the quality promised by
producers," he said.

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

The producers and traders have to provide a guarantee of at
least one year. They also have to issue manuals in Bahasa
Indonesia, according to existing regulations. -- JP