INP-WealthPk

Ministry of Commerce to Formulate Mechanism for Consumer Protection

April 18, 2022

By Raza Khan ISLAMABAD, April 18 (INP-WealthPK): To boost the e-commerce sector and enhance online trade in Pakistan, the Ministry of Commerce has decided to formulate a mechanism for consumer protection. The decision was taken during the eighth meeting of the National e-Commerce Council (NeCC) in Islamabad. Secretary Commerce Sualeh Faruqui directed the NeCC to collaborate with provincial e-commerce councils for developing robust ecosystems for e-commerce in the provinces. The purpose of the proposed mechanism is to improve consumer protection regime for improving consumer confidence in online shopping, the Ministry of Commerce said. The NeCC is a body of representatives from public and private sector, constituted under the National e-Commerce Policy. The objective of the NeCC is to develop effective collaboration with all relevant sectors for practical implementation of the e-Commerce Policy. Aisha Humera Moriani, Senior Joint Secretary (e-commerce) in the Ministry of Commerce, told WealthPK that the NeCC has decided to formulate a regulatory framework for online trading platforms. “The purpose of the proposed regulatory system is to protect the consumer rights,” she informed. The official informed that consumer protection includes safe delivery of services and goods, warranties, money-back guarantees, and exchange and return of goods in case of damage claim.  She suggested that people opting for online shopping should verify the trading platforms before buying any stuff to avoid scams and to ensure the service quality. “During the meeting, the representatives from provincial consumer protection councils apprised on the status of consumer protection laws and their relevance to e-commerce transactions,” Humera said. Major e-commerce groups and online trading platforms would also be consulted in devising a policy for consumer protection, the official informed. During the meeting of the NeCC, the secretary also asked the Ministry of Commerce to coordinate with the Ministry of Information Technology, the State Bank of Pakistan (SBP) and the Federal Board of Revenue (FBR) for notifying IT tax incentive package. Earlier in February, the government of Pakistan announced an incentive package to facilitate the IT sector, freelancers and startups. According to the Ministry of IT, the government has allowed IT, Information Technology Enabled Services (ITES) companies and freelancers to retain 100% amount of remittances, received through proper banking channels, in foreign currency accounts without any compulsion to convert them into Pak rupees. Furthermore, there will be no restriction on outward remittances from foreign currency accounts for Pakistan Software Export Board (PSEB)-registered IT companies and freelancers. The Ministry of Commerce apprised the participants that two key goals under the national e-commerce policy of developing an e-commerce information portal and a business-to-business (B2B) trade portal had been achieved in February to guide and support e-commerce businesses. The NeCC directed all the e-commerce and online trading platforms in Pakistan to register with relevant government portal for better communication and facilitation.