PRESENTATION of

IBE
On
CONSUMER
PROTECTION
MOVEMENT IN INDIA &
NGO INVOLVED IN IT
By
Group no.10
 INTRODUCTION
• Consumers play a vital role in the economic system
of a nation. They are widespread and not organized
that’s why they need protection.

• Consumer protection means safeguarding the rights

and interests of consumers. It includes all the
measures aimed at protecting the rights and
interests of consumers. 
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 THE CONSUMER PROTECTION
ACT, 1986

1. Right to Safety: The right to be protected against

goods which are hazardous to life and property.
(i.e. unsafe or mixed food which make food
poisoning, inferior medicine etc)

2. Right to Information: The right to be informed

about the quality, quantity, purity, price and standards
of goods.
(i.e. information regarding quality, quantity, price,
purity. Some times hidden cost, lack of quality we
observe after purchase of goods)
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 CONTD…
3. Right to Choose: The right to be assured access to a
variety of products at competitive prices, without any
pressure to impose a sale,
i.e., freedom of choice(MRTP act)(import)

4. Right to be Heard: The right to be heard and

assured that consumer interests will receive due
consideration at appropriate forums.
(i.e. right to go to consumer forum and filled the
complain) 4
TOLANI INSTITUTE OF MANAGEMENT STUDIES
 CONTD…
5. Right to Seek Redressal: The right to get relief
against unfair trade practice or exploitation.
(i.e. get compensation and relief by consumer
forum)

6. Right to Education: The right to be educated about

rights of a consumer.
i.e. formal education in college & school, various
campaign by govt. (jago grahak jago), NGO
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 CONSUMER PROTECTION
MOVEMENT
• Industries (Development and Regulation) Act, 1951:
(Govt. Control over distribution)
• Prevention of Food Adulteration Act, 1954: (for
severe punishment for adulteration)
• Essential Commodities Act, 1955
(to prevent black marketing of essential goods)
• The Standards of Weights and Measures Act, 1956
(use of standard weights and standard measures of
length throughout the country)
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 CONTD…
• Monopolies and Restrictive Trade Practices Act,
1969
(to get competitive and more variety of goods to
consumer)
• Consumer Protection Act, 1986
The Act provides for a separate three-tier quasi-
judicial consumer dispute redressal machinery,
popularly known as consumer courts, at the national,
state and district levels to provide simple, speedy and
free redressal against consumers’
7 complaints.
TOLANI INSTITUTE OF MANAGEMENT STUDIES
 CONTD…
• Amendments(1991, 1993):
To make it more effective
• The Consumer Protection (Amendment) Bill, 2001:
To make quicker disposal of complaints, widening
the scope of the Act, strengthening the Consumer
Courts, streamlining the procedure and a proposal to
strengthen the consumer movement. It is also
proposed to establish a consumer protection council
in every district.
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 NGO’s Role in
Consumer Protection
Movement in India
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 NON-GOVERNMENTAL
ORGANIZATIONS
• Non- Governmental Organizations (NGOs) are
those associations of people which aim at
promoting the welfare of the public without any
profit motive.

• The role of NGOs has significantly increased over

the last two decades. There are now more than
800 such organisations in India.

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 FUNCTION OF NGO
• Awareness about consumer rights and educate
the general public about consumer problems
and remedies through seminars, workshops and
training programmes.
• Provide legal aid to consumers by way, of
assistance in seeking legal remedy.
• Make suggestions and recommend steps which
government authorities should consider in
policy making in the interest of consumers.
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 NGO’S INVOLVED IN CONSUMER
PROTECTION MOVEMENT

CERC (consumer education & research

center)
CUTS (Consumer Unity and Trust
Society)

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 CERC
Case against Indian airlines:
Lack of attention to the safety of aircraft and the
passenger travelling by the airlines
lack of facilities
Inconvenience caused to the passengers due to the delay
in operation in flights, failure to give information
regarding the delayed or cancelled flights.
Act of 1986 was enacted to give redressal to the
consumers if there was any defect in the goods purchased
or there was any deficiency in the service hired or breach
of the promise to be made.
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 CONTD…
• CERS stops the Jet Airways - Air Sahara Merger by
implement of MRTP act and arguing
These two were fiercely competing against each
other which resulted in many advantages for the
consumers in terms of low fares, more efficient
services, removal of restrictive conditions, availability
of more flights, opening of new routes, etc.

• Similarly merger was stoped between Hindustan

Lever Limited (HLL) with Tata Oil Mills Company
Limited (TOMCO) 14
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 CERC SURVEY
• Five brands were found not complying with
the Standards of Weights and Measures
(Packaged Commodities) Rules, 1977, with
the net weight lower than the maximum
permissible error limit. These were
— Sushma, Samrat and O.K. potato chips,
Jalsa and Induben banana chips.

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 CONTD…
• Haldiram claimed that the chips had low fat
content though the fat content found was 37
per cent of mass which is more than the limit
of 35 per cent. Similarly, Balajipotato chips
claimed: “Least oil for your healthy heart”.
However, the fat content was 38 per cent.

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 CONTD…
• There are no Standards in the Prevention of Food
Adulteration Act, 1954 (PFA) for chips as it is a
proprietary product. CERC tested them against the
standards for fried potato chips and for fried
banana chips. Packets of none of the brands carried
the ISI mark. The PFA Act should incorporate
mandatory Standards for potato and banana chips
as this would lead to better quality control.

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 CONTD…
• CERC filed complaint against “`Manikchand’s
Oxyrich Healthy Drinking Water advertisement” as
misleading ad. And asked Oxyrich to modify or
withdraw the advertisement.
• CERS had contested Manikchand’s claim of “300%
more oxygen is not just a promise, it is a fact proven
by the oxymeter” and “Oxyrich - a truly healthy
drinking water”.
• Brand of water cannot be called a truly healthy
drinking water simply because there is extra oxygen
in it” CERS had said 18
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 CUTS
• Behala Oil Tragedy:
In 1987, more than 1600 people had fallen ill
seriously and 18 died after consuming food cooked in
rapeseed oil sold by a ration shop in Calcutta’s Behala
area. The consumer suffered from service disability
due the consumption of this oil seed.
A “Class Action” petition filed by CUTS, against
the West Bengal Food and Supplies Department and
Health Department and the Calcutta Municipal
Corporation. The ration shop owners received life
imprisonment. 19
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 CONTD…
• They demanded payment to the sufferers, their
prompt medical treatment, disablement pension to
the affected persons, and rehabilitation of the
victims of oil seed tragedy.

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