STRENGTHENING CONSUMER RIGHTS IN MALAYSIA

Consumer rights are coming to the fore in Malaysia as the country grapples with increasingly complex market dynamics and the growing need for consumer protection in the digital age.

The increase in e-commerce and technological advances have increased the risk of consumers falling victim to unscrupulous practices, making awareness and empowerment more important than ever.

“Consumer awareness in Malaysia is currently moderate,” said Zaid Idris, Director (Consumer Action) at the Ministry of Domestic Trade and Cost of Living.

Zaid Idris emphasizes the importance of education and awareness in increasing consumer empowerment and protection.

In an interview, Zaid referred to the 2020 Consumer Empowerment Index (CEI) study conducted by the ministry, which revealed a consumer empowerment score of 63.1% in three key areas of consumer skills and knowledge, financial literacy and consumer engagement.

While Malaysia outperforms the European Union (50%) and Indonesia (48%) in their respective latest studies, it falls slightly behind South Korea (65%). This is a benchmark, he said, adding that there are plans for a follow-up study in 2025 or 2026 to measure progress.

While Malaysian consumers scored well when it came to understanding basic financial products, they fell short when it came to making claims, with a score of 56.1%.

“Consumers know what to do, but they don’t take action,” Zaid explained, noting the cultural tendency to trust authorities rather than self-defense.

Realizing these gaps, the ministry has launched various initiatives to increase consumer participation. Chief Minister Datuk Seri Anwar Ibrahim recently led the government’s “Kita Gempur” campaign to combat unethical business practices.

The initiative aims to address issues such as online business fraud and cartel behavior.

As The Star reported on October 19, 2024, the initiative includes a reporting platform accessible via QR codes that allows the public to report abuses via WhatsApp, the helpline, and the MyCC portal.

The Ministry plans to prominently display these QR codes in various locations across Malaysia to facilitate efficient reporting.

The Ministry also supports the Consumer Claims Tribunal Malaysia (TTPM) as a fast, easy and affordable way for consumers to make claims.

“This is a quasi-judicial process that costs only RM5 and can handle claims up to RM50,000,” Zaid said, highlighting its accessibility compared to the traditional court system. TTPM aims to resolve cases within 60 days, but the timeline may vary depending on the complexity of the case.

Consumer rights and protection

Consumers in Malaysia have eight fundamental rights that will protect them from unscrupulous practices.

These rights include access to basic needs, the right to make choices, the right to secure goods and services, the right to accurate information, the ability to express an opinion, access to a safe and healthy environment, and the right to consumer education.

Importantly, consumers also have the right to receive fair compensation for misleading or inferior goods and services.

“An informed consumer is an empowered consumer,” Zaid emphasized.

Submitting requests can be done in simple ways, either manually at one of the TTPM branches or online through the e-Tribunal V3 system.

If a defendant fails to comply with a TTPM order, the department may impose sanctions, potentially leading to criminal charges.

Complaint and request channels

The ministry has developed various channels for consumers to lodge complaints, including the e-Aduan portal, helpline and various digital platforms.

Additionally, consumers can submit their requests manually at TTPM counters or online. Zaid emphasized the importance of consumer participation in improving consumer rights in Malaysia.

“We need to improve the mentality of our society,” he said, encouraging Malaysians to take an active role in defending their rights. The upcoming CEI study will serve as an important tool in measuring progress and identifying areas where further improvements can be made.

Zaid emphasized that the ministry is committed to fostering a balanced and ethical consumer ecosystem where informed consumers can make educated purchasing decisions and defend their rights with confidence.

As Malaysia continues to develop, empowering consumers remains a key goal in achieving a socially and economically balanced nation.

An important aspect of consumer empowerment is keeping consumers well informed.

“It is very important for consumers to be informed and make the right decisions,” Zaid said.

For example, when purchasing food products, consumers should pay attention to the ingredients and nutritional content stated on the labels. This transparency is part of the government’s effort to protect consumer rights by providing necessary information, allowing consumers to make informed choices.

The ministry also emphasizes the importance of manufacturers providing clear contact information so consumers know who to reach in case of problems.

The Ministry aims to elevate consumer rights and protection in Malaysia by equipping consumers with accurate information and encouraging proactive participation.

For inquiries and complaints, WhatsApp us at 019-848 8000, call the KPDN helpline at 1-800 886 800 or Monday to Friday (Sunday to Thursday in Johor, Kedah, Kelantan and Terengganu.

Or download the KPDN app ezAdu from the Apple App Store or Google Play Store.

For more information, visit: www.kpdn.gov.my/ms/