Consumer - A person who buys and uses a good or service from the market after making a payment is called consumer.

The consumer in the marketplace:

• Consumers participate in the marketplace by using a particular product.
• Had there been no consumer no company would exist.
• The status of consumer is more or less pathetic as far as consumer rights are concerned.
• You can take examples of shopkeepers weighing less than he should, company’ making false claims on packs.
• Then there are local sweetmeat sellers adulterating raw materials to produce the laddoos or barfis.
• You can recall the case of dropsy because of adulterated mustard oil.
• No matter how bad quality you get, chances are you will get a rude response from the shopkeeper if you dare to complain.
• If you have traveled by railways then you can recall the horrible taste of almost all foodstuffs being sold in trains and on platforms.
• Even the food supplied by the rail pantry is of horrible quality.

Consumer Exploitation - A situation in which a consumer is cheated or given false information by the producer it is called consumer's exploitation.

                                                                    OR

When a consumer is cheated in any way, either by the shopkeeper or the producer, by giving him poor quality or adulterated goods or by charging more prices for a commodity or a service, it is called consumer's exploitation.

Consumers are cheated by the manufacturer by in the following ways:

High Prices:

• Traders can charge a price higher than the price prevailing in the market because of the ignorance and urgency of the customer.

Underweight and under measurement:

• By their cleverness, some traders steep so low that they cheat the consumer by resorting to underweight and under measurement tactics.

Sub standard quality:

• Some traders sell substandard quality products to the consumer Nowadays markets are full of duplicate products.

Adulterated and impure products:

• In edible items such as oil, ghee and spices adulteration is made in order to earn higher profits.

Improper information:

• Companies spend a considerable amount on advertisement alone to attract consumers and feed information that they want the consumers to know but not the information the consumers need about the products.

Lack of safety devices:

• Some producers try to produce things of poor quality without thinking about the standard safeguard norms.

Poor after sale service:

• Many things need adequate after sale service.
• But most of the sellers do not provide it.

Major factors responsible for the exploitation of the consumer:

Limited information:

• In the absence of information about different aspects of the products namely price, quality, composition, condition of use, etc., the consumers are liable to make a wrong choice and lose money.

Wrong information:

• In the absence of full and correct information a consumer may get exploited.

 Shortage of supply:

• Due to under development of industry there is a shortage of supply.
• This gives rise to hoarding and price rise.

Limited competition:

• Due to under development of industry there is a lack of competition in the market.
• This may lead to exploitation of the consumers.

Illiteracy and ignorance of the consumers:

• In most of the developing and under developed economies illiteracy rate is very high and hence consumers can be easily cheated by the producer.

Need for rules and regulations to save the consumers:

• Producers are spending a lot of money to influence the consumers which makes difficult for the consumers to make a correct choice, so there is need for consumer awareness.
• Producers do not provide sufficient information to the consumers and even some times harass them.
• Consumer awareness is also must because at times greedy traders begin to play with the health of the people by indulging in adulteration of edible oils, milk, butter etc.
• There is need for rules and regulations because most of goods and services are being produced by private sector with profits as main motive

Consumer Movements - An organized and collective movement of consumers is called consumer movements.

                                                                    OR

An effort to promote consumer protection through an organized social movement, which is in many places led by consumer organizations, is called consumer movements.

• The consumer movement arose out of dissatisfaction of the consumer as many unfair practices were being indulged in by the sellers.
• There was no legal system available to consumers to protect them from exploitation in the market place.
• In India, the consumer movement as a social force' originated with the necessity of protecting and promoting the interest of consumers against unfair trade practices.
• Food shortages, hoarding, black marketing, high prices gave birth to consumer movement in an organised form in the 1960s.
• Till the 1970s, consumer movement was mainly restricted to writing articles and holding exhibitions.
• More recently, India witnessed an upsurge in the number of consumer groups.
• The level of dissatisfaction with the sellers and service providers was such an extent that the consumers had no choice but to raise their voice.
• This is because of more and more cases of the consumer exploitation by the private sector.
• The activities of various consumer forms forced the government to enact the Consumer Protection Act 1986, popularly known as COPRA.

Consumers International:

In 1985 United Nations adopted the UN Guidelines for Consumer Protection. This was a tool for nations to adopt measures to protect consumers and for consumer advocacy groups to press their governments to do so. At the international level this has become the foundation for consumer movement. Today, Consumers International has become an umbrella body to over 220 member organisations from over 115 countries.

Consumer Forum - The organisations formed to guide consumer rights are called consumer forum. They are also called as Consumer Protection Councils.

• The consumer movement in India has led to the formation of various organisations locally known as consumer forums or consumer protection councils.
• They guide consumers on how to file cases in the consumer court.
• On many occasions, they also represent individual consumers in the consumer courts.
• These voluntary organisations also receive financial support from the government for creating awareness among the people.
• If you are living in a residential colony, you might have noticed name boards of Resident Welfare Associations.
• If there is any unfair trade practice meted out to their members they take up the case on their behalf.

Consumer Courts - A special purpose court in India that deals with cases regarding consumer disputes, conflicts and grievances is called consumer courts.

• Most important feature of the Consumer Protection Act is the provision of three tier system popularly known as consumer courts.

• These courts look into the grievances and complaints of the consumers against the traders and manufacturers and provide the necessary relief and compensation.
• These courts are required to dispose of each complaint within three months.
• These courts reduce the burden from on other courts.

COPRA (Consumer Protection Act) - An Act of the Parliament of India enacted in 1986 to protect the interests of consumers in India is called the Consumer Protection Act, 1986 (COPRA)

Under COPRA, three-tier quasi judicial machinery at the district, state and national levels were set up for redressal of consumer disputes:

• The district level court deals with the cases involving claims upto Rs 20 lakhs.
• The state level courts deal with cases involving claims between Rs 20 lakhs and Rs 1 crore.
• The national level court deals with cases involving claims exceeding Rs 1 crore.
• If a case is dismissed in district level court, the consumer can also appeal in state and then in National level courts.
• Thus, the Act has enabled us as consumers to have the right to represent in the consumer courts.

Right to Information Act, 2005  -  An act those give rights to the citizen to have information about the government departments, their policies practices and procedures is called Right to Information Act, 2005

• In recent times, the right to information has been expanded to cover various services provided by the Government.
• In October 2005, the Government of India enacted a law, popularly known as RTI (Right to Information) Act, which ensures its citizens all the information about the functions of government departments.

Rights of the consumers:

Right to safety:

• The consumers have right to be protected against marketing of goods and services which are hazardous to life and property.

Right to be informed:

• The consumers have the right to know about the quality, quantity and price of goods, date of manufacture, expiry dates etc.
• There are rules which make it mandatory to mention ingredients and safety features on the pack of a product.
• Proper information helps a consumer to make informed buying decision.
• A pack of a product also needs to mention the MRP (Maximum Retail Price) and a consumer can complain if the seller asks for more than the MRP.
• This right has been provided to the consumer so that consumers can approach the courts if cheated.

Right to choose:

• A consumer has the right to choose from different options.

• Consumers have the right to check the variety of goods and services at competitive prices.
• This right gives the consumer assurity that no producer can force him/her to purchase a particular brand.
• A seller cannot just offer to sell only one brand to the consumer.
• The seller has to offer various options to the consumer.
• This right is usually enforced through laws against monopoly trade.

Right to seek redressal:

• The consumer has the right to seek redressal against unfair trade practices and exploitation.

• If a consumer gets affected by false promises made by the producer or suffers because of manufacturing defect; he has the right to seek redressal.
• Suppose you took a mobile connection and the bill shows many hidden charges which were not explained to you earlier.
• Or the mobile company activated a ringtone without your permission.
• Then you can go to the consumer court to put your case.
• If any damage has been done to the consumer, he/she has the right to get compensation depending upon degree of damage.

Right to be represents:

• Copra has enabled the consumer to have the right to represent in the consumer courts.

Standardisation - The process of creating standards to guide the creation of a good or service based on the consensus of all the relevant is called Standardisation.

For maintaining the minimum standard government has created various institutions:

• Through standardisation of product the government tries to protect the consumers from lack of quality and varying standards of goods.

Government of India has established two agencies to check the quality and standard of the products:

Bureau of Indian Standards - The national Standards Body of India working under the aegis of Ministry of Consumer Affairs, Food & Public Distribution, Government of India is called the Bureau of Indian Standards (BIS).

• It has the responsibility of laying down the standards for industrial and consumer goods on a scientific basis and certifying the goods that meet the standard quality.
• If any consumer is dissatisfied with the quality of a certified product.
• He/she can complaint to the nearest office of the BIS.

This BIS earlier known as Indian standards institute (ISI) whose head office is located in New Delhi has the responsibility of laying down standards for industrial and consumer goods on scientific basis.

Agmark - A certification mark employed on agricultural products in India by the directorate of Marketing and Inspection is called Agmark.

• It is implemented under the Agricultural Produce Act, 1937, as ammended in 1986.
• Products such as honey, masala and spices carry such marks.

Hallmark - An official mark struck on items made of precious metals like gold silver platinum etc. is called hallmark.

Duties of a well informed consumer:

• While purchasing the goods, consumer should look at the quality of the product, the marked price, guarantee or warrantee card/period.
• Consumer should preferably purchase standardise products which contain seal of ISI or Agmark.
• Consumer should ask for a cash-memo and warrantee card. Consumer must be aware of his rights and duties.
• Consumer should form consumer awareness organisation, which can be given representation in various committees formed by the government.
• He should know the method how to proceed if he is cheated

ISI Mark - A certification mark for industrial products in India developed by the Bureau of Indian Standards is called ISI Mark.

ISI and Agmark:

• While buying many commodities, on the cover, you might have seen a logo with the letters ISI, Agmark or Hallmark.
• These logos and certification help consumers get assured of quality while purchasing the goods and services.
• The organisations that monitor and issue these certificates allow producers to use their logos provided they follow certain quality standards.
• Though these organisations develop quality standards for many products, it is not compulsory for all the producers to follow standards.
• However, for some products that affect the health and safety of consumers or of products of mass consumption like LPG cylinders, food colours and additives, cement, packaged drinking water, it is mandatory on the part of the producers to get certified by these organisations.

Taking the consumer movement forward:

• India has been observing 24 December as the National Consumers Day.
• It was on this day that the Indian Parliament enacted the Consumer Protection Act in 1986.
• India is one of the countries that have exclusive courts for consumer redressal.
• There are today more than 700 consumer groups in the country of which only about 20-25 are well organised and recognised for their work.
• However, the consumer redressal process is becoming cumbersome, expensive and time consuming. In most purchases cash memos are not issued hence evidence is not easy to gather.
• Moreover most purchases in the market are small retail sales.
• The existing laws also are not very clear on the issue of compensation to consumers injured by defective products.
• After 20 years of the enactment of COPRA, consumer awareness in India is spreading but slowly.
•  It is often said that consumer movements can be effective only with the consumer’s active involvement.

International level:

• At the international level an institution called International organisation for Standardisation (ISO), for setting international food standards.
• It was created in 1963 by the FAO and WHO. It develops food standards, guidelines and code of practices for production.

National Consumers’ Day

• 24th December is celebrated as the National Consumers’ Day.
• It was on this day that the Indian Parliament enacted the Consumer Protection Act in 1986.
• India is one of the few countries that have exclusive courts for consumer redressal.
• The consumer movement in India has made significant progress in recent times.
• At present, there are more than 700 consumer groups. Out of them, about 20-25 are well organized and are recognized for their work.
• The consumer redressal process is becoming cumbersome, expensive and time consuming.
• The lawyer’s charges in some cases work as deterrent. Sometimes, the long delay de-motivates a person and he may even stop pursuing the case.