Consumer complaints rise by 30% in 2022

The retail sector trading in consumables, electronics and accessories topped the list of consumer complaints lodged to the Competition and Fair Trading Commission (CFTC) in 2022, which rose by 30 percent.

In an update on its performance in 2022, CFTC said it investigated and resolved 64 consumer complaints in the year under review, a rise from 49 cases in 2021, representing a 30 percent jump.

From the complaints, the commisision recovered about K14 million, a rise from K5 million in 2021.

The recoveries were in refunds and exchanges on defective products to consumers.

Speaking in an interview on Monday, CFTC public relations officer Innocent Helema said the complaints largely centred on situations where traders acted unreasonably.

He said: “We had cases, for instance, where some traders sold defective electronic appliances and some companies refused to refund their customers money where there were some issues.

“The retail sector trading in consumables, electronics and accessories and hardwares reported most cases which were 92, representing 27 percent of the complaints.”

Helema said under consumer law, businesses must not act unconscionably towards consumers or other businesses, but in most instances, traders become more powerful than a consumer and traders take advantage of situations to include unfair terms.

On unfair trading practices, the data shows that these also rose in the year to 347 cases in 2022 compared to 333 cases in the previous year.

Commenting on the findings, Consumers Association of Malawi executive director John Kapito said in an interview on Tuesday that proper monitoring and inspection systems are key to ensuring that everyone is accountable for their actions on the market.

He urged the commission to ensure a level playing field for all businesses.

In a statement, the commission said it will continue to validate the complaints, investigate and engage the concerned parties until such issues are resolved.

Meanwhile, the commission is hopeful of enhancing and promoting competition and fair trade through the review of the Competition and Fair Trading Act of 1998 by aligning it with the current trends.

The commission believes that an effective legal framework can enhance its capacity to enforce competition and fair trading in the country.

Ministry of Trade and Industry assistant director of trade Wiskes Nkombezi said in an interview on Tuesday that in reviewing the policies, government wants to strengthen competition on the market.

“We are reviewing the competition law because we noted gaps,” he said.