Implementing Rules and Regulations of R.A. No. 7394 (Consumer Act of the Phil.)

January 21, 2008 DTI DEPARTMENT ADMINISTRATIVE ORDER NO. 08-01, S. 2008 SUBJECT : Addenda to the ImplementingRules andRegulations of RepublicAct No.7394, Otherwise Known as the ConsumerAct of the Philippines or the DepartmentAdministrative Order No.2, Series of 1993 on the Matterof Chapter IV on Labeling and FairPackaging WHEREAS, Republic Act No. 7394 or the Consumer Act of the Philippines declares that it is the policy of the State to protect the interests of the consumer, promote his general welfare and to establish standards of conduct for business and industry. Towards this end, the State shall implement measures to achieve the following objectives: (a) protection against hazards to health and safety and (b) protection against deceptive, unfair and unconscionable sales act and practices, among others; WHEREAS, the same Act further declares that the State shall enforce compulsory labeling, and fair packaging to enable the consumer to obtain accurate information as to the nature, quality and quantity of the contents of consumer products and to facilitate his comparison of the value of such products; WHEREAS, the State's authority to enforce compulsory labeling and fair packaging is consistent with the Philippine obligation to the General Agreement on Tariff and Trade ("GATT"), particularly on Article III on National Treatment on Internal Taxation and Regulation; WHEREAS, there is a need to update and tighten existing implementing rules on product labeling, proper and correct description of goods, product labels with foreign characters/languages, data/information on product contents and origins and other similar purposes; NOW, THEREFORE, pursuant to the provisions of the Consumer Act of the Philippines, the following Order is hereby prescribed for the information, guidance and compliance of all concerned: SECTION 1. Scope and Coverage. This Order shall apply to all consumer products, whether locally manufactured or imported, being sold in the Philippines and falling under the jurisdiction of the Department of Trade and Industry ("DTI") as contemplated by R.A. No. 7394. IAEcCa SECTION 2. Mandatory Translation in English or Filipino Language in the Label. It shall be mandatory for all manufacturers, distributors, importers or repackers of consumer products covered herein, whether locally manufactured or imported, to indicate in their labels or packaging, a parallel translation in the English or Filipino language of the nature, quality and quantity and other relevant information or instructions of such consumer products in a manner that cannot be easily removed, detached or erased under ordinary handling thereof. Stickers and other similar removable labels shall not be allowed except for those labels that may specifically be required by other applicable rules and regulations. THSaEC SECTION 3. Mandatory Specific Labeling and Packaging Requirement. In addition to the provisions of Chapter IV of the Consumer Act and its Department Administrative Order No. 2, Series of 1993 ("Implementing Rules and Regulations"), it is required that all consumer products sold in the Philippines, whether manufactured locally or imported shall indicate and specify the following: (a) country of manufacture; (b) required information of consumption duration safety (i.e., good until December 2008); (c) warranty of the manufacturer; (d) weight content prior to packaging; (e) consumer complaint desk address; and (f) all other information that fits the parameter of the consumers' right to information. ScaEIT SECTION 4. Coordination and Cooperation Between the Department of Trade and Industry ("DTI") and Bureau of Customs ("BOC") in Making All Consumer Products Compliant with Product Labeling Requirements. The Department of Trade and Industry ("DTI") together with the participation of a DTI-accredited nationwide consumers organization, shall exchange information with the Bureau of Customs ("BOC") to ensure that all imported consumer products comply with the provisions of Chapter IV of the Consumer Act of the Philippines and its Implementing Rules and Regulations governing product labeling and fair packaging. The BOC shall ensure that the aforementioned requirements on labeling are complied with prior to the release of imported product. aAIcEH SECTION 5. Repealing Clause. All previous Orders which are inconsistent with this Order are hereby repealed or amended accordingly. SECTION 6. Penal and Administrative Sanctions. Any violation of this Order shall be dealt with in accordance with the Consumer Act of the Philippines and its Implementing Rules and Regulations such as impounding and quarantine of goods and repatriation of shipment to the country of origin with cost borne by the importer. SECTION 7. Transitory Period for Compliance. There is hereby prescribed a transition period for the compliance of the manufacturers, distributors, importers and repackers of consumer products sold in the Philippines, whether manufactured locally or imported, which shall be at least six (6) months from the effectivity of this Order. caCTHI SECTION 8. Separability Clause. In the event that any provision of this Order is declared unconstitutional, the validity of the other provisions shall not be affected by such declaration. SECTION 9. Publication and Effectivity. This Order shall be published in two (2) newspapers of general circulation and shall take effect fifteen (15) days after its publication. CTHDcE Issued this 21st day of January 2008 in Makati City, Philippines. Approved: (SGD.) PETER B. FAVILA DTI Secretary Recommending Approval: (SGD.) VICTORIO MARIO A. DIMAGIBA Director Bureau of Trade Regulation and Consumer Protection (SGD.) ZENAIDA CUISON MAGLAYA Undersecretary Consumer Welfare and Trade Regulation Group