Presented by Charlotte Wezi MALONDA

EXECUTIVE DIRECTOR Email: mesikanowezi@gmail.com/charlottewezi.malonda@cftc.mw

COMPETITION AND FAIR TRADING COMMISSIONCONSUMER PROTECTION IN MALAWI

Crossroads HotelLilongwe, Malawi

8-10 September 2014

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

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;

Strategic focusObjectives

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

CFTC’s Priorities On going Advocacy Increase education and awarenessCo-operation with other regulators in infiltrate

sectors of tradeEncourage engagement by consumersEnforce 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

protectionAligning consumer rights with human rights.

Hot topics on consumer protection in Malawi Display of disclaimersMisleading advertsMisleading conductDisplay of pricesCounterfeit productsUnconscionable conductUnfair contractual terms

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

Categories of complaints & challenges

Individual complaintsPublic outcry Can take up cases on our own volition.Challenges :-Some areas not regulated

ReligiousTraditional remedies/problem solving

Some areas heavily regulated by lack of enforcement

medicines & poisons, land, financial sector

Case study BWB caseCFTC 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.

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

The End Thank you and God bless

Visit us at www.cftc.mw Facebook : competition and fair trading

commission of MalawiEmail- competitioncommission@cftc.mw