1. Presented by Charlotte Wezi MALONDA EXECUTIVE DIRECTOR Email: mesikanowezi@gmail.com/charlottewezi.malonda@cftc.mw COMPETITION AND FAIR TRADING COMMISSION CONSUMER PROTECTION IN MALAWI Crossroads Hotel Lilongwe, Malawi 8-10 September 2014

2.  Consumer protection Act 2003  Provides an enumeration of the rights of a consumer in general  Provides undertakings to be made by government  Elaborates the obligations of traders  Competition and Fair trading Act 1998  Mandated to protect consumer welfare  Protection of consumers from unfair trade practices  Includes protection against violation by both state and none state actors Legal framework on Consumer protection Malawi

3. Legislative framework 3 The CFTA is an Act which:  encourage competition in the economy by prohibiting anti-competitive trade practices;  establish the Competition and Fair Trading Commission; ie appointment of Commissioners and establishment of a secretariat.  regulate and monitor monopolies and concentrations of economic power;  protect consumer welfare;

4. Strategic focus  Objectives  Educate consumers  Inform consumers  Protect consumers  Mission To monitor behaviour that is likely to adversely affect competition and enhance competition by, professionally and fairly investigating and resolving cases of anticompetitive and unfair trade practices to promote consumer welfare and for the benefit of the people of Malawi

5. CFTC’s Priorities  On going Advocacy  Increase education and awareness  Co-operation with other regulators in infiltrate sectors of trade  Encourage engagement by consumers  Enforce cases which have a public interest effect  Initiate and maintain a consumer protection culture  Strengthen the link between competition and consumer protection.  Benchmark and set high standards for consumer protection  Aligning consumer rights with human rights.

6. Hot topics on consumer protection in Malawi  Display of disclaimers  Misleading adverts  Misleading conduct  Display of prices  Counterfeit products  Unconscionable conduct  Unfair contractual terms

7. Other upcoming categories  Romance scams  Family friend  Loan scams  Miracle cure scams  Religious scams  Scams related to miracle cures for terminal illnesses  Traditional medicine scams  Employment agencies  Investments /pyramid schemes  Chain mail

8. Categories of complaints & challenges  Individual complaints  Public outcry  Can take up cases on our own volition.  Challenges :-  Some areas not regulated  Religious  Traditional remedies/problem solving  Some areas heavily regulated by lack of enforcement  medicines & poisons, land, financial sector

9. Case study  BWB case  CFTC ordered Blantyre Water Board to cease and desist from engaging in prohibited unfair trading practices.  Investigations conducted on Blantyre Water Board established that the company engaged in unconscionable conduct by implementing a deliberate policy of delayed reconnection of water supply to disconnected customers.  Under the policy, water consumers whose supply was disconnected due to non-payment of outstanding bills are only reconnected after three days upon payment of outstanding balance and a penalty.

10. Penalties  General penalty is MK500 000 or an amount equivalent to the financial gain generated by the offence.  Damages can be obtained before the High Court for any loss suffered

11. The End Thank you and God bless Visit us at www.cftc.mwwww.cftc.mw Facebook : competition and fair trading commission of Malawi Email- competitioncommission@cftc.mwcompetitioncommission@cftc.mw