Several ministries are awaiting new penalty regulations related to the protection of consumers in terms of health and safety and involving stricter sanctions on violating establishments. Sources quoted by Al Watan daily newspaper said that three government bodies had proposed the regulations, which were amendments they filed with the Council of Ministers’ Council of Experts regarding penalties. The latter will study the regulations before submitting them to the Council of Ministers.
The amendments included fines that can reach one million riyal, as well as naming and shaming — which includes owners — and a one-month suspension for commercial establishments that perpetrate certain violations.
The study is expected to be completed before year’s end. The new procedures will be integrated by involving Customs, traders and outlets, courts and consumers, in addition to another 12 government and private bodies. It will be like a road map of a product’s journey from manufacturer to consumer arriving in a sound and healthy state at a reasonable price.
The sources told the newspaper that sanctions against certain acts were not sufficient. The new regulations that will be circulated to the Ministry of Commerce & Industry, municipalities, Customs, the Capital Market Authority, the Saudi Standards, Metrology & Quality Organization (SASO) and the Saudi Food & Drug Authority (SFDA.)
Consultant and economic expert Adnan Al-Naeem said the government’s goal of the regulations was to combat acts of counterfeiting and manipulation, and encounter issues related to the health of Saudis and expatriates. The bodies that proposed the stricter penalties aim to regulate markets in an adequate and efficient way. Everybody agrees on receiving high-quality products that are reasonably priced. He said the ministry’s determination to provide the best services was associated with efforts by the mayor’s offices’ environmental departments which carried out inspections at outlets, SASO — which sets the standards and specifications, and Customs — which clears products as per SASO’s standards, adding that relevant authorities were working on applicable solutions to the issues of counterfeited jewelry, clothing, car tires and electric devices. Al-Naeem added that counterfeiting was present in every market in the world.
Head of the National Commercial Committee, Yousuf Al-Dawsari, said the anticipated regulations should deal with the issue of tasattur (cover up businesses), adding that combating counterfeiting must be preventative, meaning it should begin at border crossing points to prevent the entry of products in breach of the law, and punish the importers by imposing fines. He thinks markets in Saudi Arabia lacked adequate regulations, a situation that had led to the exacerbation of some issues over past years. The application of newly regulated penalties could cause reverse results if not carried out according to plans that guarantee there would not be a shortage in supplies or price hikes, he said.
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