International cooperation to protect consumers will be crucial to ensure the benefits of the emerging global market are fully realised, Australian Competition and Consumer Commission Deputy Chairman, Mr Allan Asher, said today.
Issuing an ACCC discussion paper, The Global Enforcement Challenge, Mr Asher said that consumers needed confidence in the new forms of marketing such as international telemarketing and mail order, and the Internet. Only then will they feel confident in accessing the benefits of the international marketplace - such as access to improved choice and, in many instance, cheaper prices.
"One of the tools required to underpin consumer confidence in these developing markets is strong cooperative enforcement action by world-wide consumer protection agencies," he said.
"Traditional methods of consumer protection are not always suitable to deal with cross-border difficulties for both consumers and businesses.
"The purpose of this paper is to highlight the problems already encountered by consumers buying in the global market and to discuss various enforcement strategies which could be adopted to address the Internet scams and misleading and deceptive cross-border marketing.
"Recently, the ACCC has increasingly found itself trying to deal with Australian consumers' complaints about products or services they have bought from other countries, usually through telemarketing, mail order or via the Internet.
"It has also had to deal with complaints from overseas consumers about Australian products sold by these methods. Sometimes redress can be provided, in others the jurisdictional reach or remedies have not been available.
"Regulatory agencies like the ACCC must be able to react quickly and effectively. Most consumers are just dipping their toe into the global market - so now is the time to discuss and create the framework to anticipate, pre-empt and address consumer problems."
Mr Asher said the discussion paper was being circulated to domestic and overseas consumer protection enforcement agencies, relevant consumer lobby groups, business organisations and others with expertise in this area.
The paper will be available on the ACCC's website or from ACCC offices in all capital cities, Townsville and Tamworth at no charge. Copies can be ordered through Ms Jacqueline Pearce on (02) 6264 1582.
