HONG KONG 2004 - Commerce and Industry

The Consumer Council is a statutory body established in 1974 to protect and promoting the interests of consumers of goods and services and purchasers, mortgagors and lessees of immovable property. The council comprises a chairperson, a vice-chairperson and 20 members appointed by the Government from a wide spectrum of the community. It forms committees and working groups to deal with specific consumer protection tasks. The council's office is headed by a chief executive, and has six functional divisions and a staff of 124.

The council carries out its functions through its consumer policy work, complaint and advice service, research and survey programmes, publications and consumer education activities.

The council's testing and survey programmes seek to provide consumers with objective and up-to-date information so that they can make informed choices. During the year, 42 product tests, 52 in-depth studies and 16 survey projects were completed. Most products were tested mainly for their safety, performance, convenience, durability and environmental impact. The tests and surveys covered a wide range of products and services, from mobile phone batteries, canned food, hair dyes and mosquito traps to package tours. Digital cameras and mobile phones have been continuously tested in the light of their popularity. As a member of the International Consumer Research and Testing Ltd, a testing body of consumer organisations, the council shares its test results and collaborates with members on international comparative tests, producing quality reports in a more cost-effective manner.

The council provides complaint and advice services to the community through an extensive network of telephone hotlines and eight Consumer Advice Centres. It acts as mediator between consumers and the traders concerned. During the year, 26 756 consumer complaints and 120 797 consumer enquiries were received. Telecommunications services continued to top the list of consumer complaints.

The council also promotes consumer interests through conducting research, disseminating information and tendering advice on trade practices and competition-related issues. During the year the council made submissions in response to public consultation papers and examined a number of matters that raised concerns over fair competition or undesirable market behaviour. It produced a report on the bundling of telecommunications service charges with building management fees, and initiated the establishment of a task force to formulate a code of practice for the beauty industry to enhance self-regulation and strengthen consumer confidence. The council's chief executive is a member of the Competition Policy Advisory Group.

The council is in daily contact with the media on all matters of consumer interest and concern. Its monthly magazine, CHOICE, regularly publishes findings of comparative product tests and service surveys providing useful and practical information, advice and viewpoints to the public. An online version of CHOICE was launched in January 2004. The magazine's reach extends far beyond its average monthly circulation of 32 500, penetrating virtually all sectors of the community through extensive media coverage. The Consumer Rights Reporting Awards 2004 continued to attract entries of high quality from journalists in all sectors of the media. The award presentation ceremony of this annual event was held on World Consumer Rights Day, which falls on March 15 every year.

The fifth Consumer Culture Study Award organised during the year encouraged secondary school students to conduct their own studies of the local consumer culture. Some 543 teams, comprising 3 300 students from 102 secondary schools, participated in this programme.

The Consumer Council, commissioned by the Education and Manpower Bureau, has launched a web-based Teacher's Development Course on consumer education. Within a year, three batches of 195 teachers have enrolled in the training course.

The Consumer Legal Action Fund aims to give greater consumer access to legal remedies and to provide legal assistance to consumers with meritorious cases. The fund, with the council as its trustee, is administered by a board of administrators underpinned by a management committee with members appointed by the Government. Since its establishment in 1994, the fund has considered 64 groups of cases, with the number of applicants in each case ranging from one to more than 800.

In networking, the council is an executive and council member of Consumers International (CI), of which its chief executive is a former president. CI is a federation of 250 consumer organisations in 115 countries dedicated to the protection and promotion of consumer interests. The council also maintains regular contacts with its counterparts overseas and in the Mainland.

The Customs and Excise Department carries out spot checks and investigations to ensure that toys, children's products and consumer goods supplied in Hong Kong are safe. It also has responsibilities in protecting consumers from fraudulent traders who offer goods of deceptive weights and measures or products made of gold and platinum that have deceptive markings. In 2004, the department carried out 3 685 spot checks and 1 029 investigations. It also organised talks for traders to promote their awareness of product safety.

The Government Laboratory provides professional support to the Customs and Excise Department in enforcing the product safety legislation. It conducted over 23 900 tests during the year to verify the compliance of various products with the relevant safety requirements. Urgent analytical service was provided to examine festive toys during festive seasons. For children's products and consumer goods that fail safety tests, the Laboratory gives professional advice in the assessment of potential hazards posed by such products. In the investigation of fraudulent trade practices, the Laboratory sustains its statutory role in examining counterfeit and fake goods, verifying weights and measures equipment for trader use, and determining the fineness of gold and platinum articles.