The Australian Competition and Consumer Commission today issued a draft determination which proposes to grant authorisation to new arrangements for the administration of the Therapeutic Goods Advertising Code.
The new arrangements, a joint initiative of the Proprietary Medicines Association of Australia and the Nutritional Foods Association of Australia, provide for:
the adoption of the existing Therapeutic Goods Advertising Code (TGAC) as a standard; the establishment of a Therapeutic Goods Advertising Code Council to consider amendments to the TGAC; and the establishment of a Complaints Resolution Panel and appeal mechanism to deal with disputes.
Previously these functions were the responsibility of the Media Council of Australia, with complaints being handled by the Advertising Standards Council. Releasing the draft determination, ACCC Chairman, Professor Allan Fels, said that "since the demise of the Advertising Standards Council last year there has been a need for new arrangements governing the advertising of therapeutic goods.
"The initiative of the PMAA and NFAA in adopting this code and providing consumers with an effective complaint handling body is an excellent example for other industries," he said. "The industry is to be commended for developing the code in accordance with the guidelines agreed to by Federal and State Consumer Affairs Ministers for Codes of Conduct.
"This will give consumers confidence that the advertising of therapeutic goods is accurate and appropriate.
"The new arrangements for the Therapeutic Goods Advertising Code will benefit the public by:
providing a fast and flexible system for complaint handling and monitoring of the code; avoiding the cost of government regulation; ensuring substantial industry coverage; providing consistency in administration of the TGAC as between medicines and health and nutrition products; the participation of consumer representatives and other stake holders in the amendment of the code and in the determination of complaints; and introducing a coordinated approach to consumer protection by the application of uniform standards in advertising of therapeutic goods across all forms of media.
"These benefits are expected to outweigh any anti-competitive detriment associated with the code." The ACCC has provided interested parties with 14 days to request a pre-decision conference before proceeding to possible final authorisation of the Therapeutic Goods Advertising Code.
Further information Professor Allan Fels, Chairman, pager (016) 373 536 Ms Lin Enright, Director, Public Relations, (06) 264 2808
