NEW DELHI: Companies that promise that their brand of cereals helps in losing weight or their massage oil gives instant relief from that knee pain may soon have to back their claims with stronger evidence to continue with such claims in their ads, or face action in court.
In a bid to protect consumer interest, the consumer affairs ministry has recommended that the government set up an investigative agency that will collect data on claims by companies and advertisers to ensure that they are scientific and not without any basis.
The move follows consultations with the health ministry , the Food Safety and Standards Authority of India (FSSAI) and Advertising Standards Council of India (ASCI) over the last threefour months. Various stakeholders have also suggested that the Centre and state governments also file cases before the consumer courts against companies that make misleading claims.
In a bid to protect consumer interest, the consumer affairs ministry has recommended that the government set up an investigative agency that will collect data on claims by companies and advertisers to ensure that they are scientific and not without any basis.
The move follows consultations with the health ministry , the Food Safety and Standards Authority of India (FSSAI) and Advertising Standards Council of India (ASCI) over the last threefour months. Various stakeholders have also suggested that the Centre and state governments also file cases before the consumer courts against companies that make misleading claims.
"To ensure that there is complete transparency and to avoid any moral hazard, we have recommended the creation of some sort of an investigative agency. This wing should be attached to our ministry," a senior official in the consumer affairs department told TOI. The ministry has also sought that a panel of lawyers should be constituted so that appropriate action be taken. And these lawyers will have to be present in the investigative agency, not in a separate panel.
While companies refused to comment, officials said the matter has been discussed with industry representatives and it has not found "full support" as they believe the move will kill creativity. "All companies in any sector, be it financial institutions or FMCG, will come under the ambit," the official said.
Even as self-regulatory advertising body ASCI is authorized to check misleading claims, the government believes there is a need for a stronger body to ensure stringent action is taken. "We are not against self regulation, but this is not the right attitude ," the official added.
FSSAI, which is mandated to take action against misleading claims in the food sector , said there was still some clarity needed if the food sector comes under the ambit. The organization has recommended the strengthening of the existing mechanism instead of constituting a separate body.
"We are just worried that a toothless body like the existing one might be constituted again. Companies say they are already providing evidence . But we have recommended for empowering the legal mechanism under the consumer protection act," an FSSAI official said.
While companies refused to comment, officials said the matter has been discussed with industry representatives and it has not found "full support" as they believe the move will kill creativity. "All companies in any sector, be it financial institutions or FMCG, will come under the ambit," the official said.
Even as self-regulatory advertising body ASCI is authorized to check misleading claims, the government believes there is a need for a stronger body to ensure stringent action is taken. "We are not against self regulation, but this is not the right attitude ," the official added.
FSSAI, which is mandated to take action against misleading claims in the food sector , said there was still some clarity needed if the food sector comes under the ambit. The organization has recommended the strengthening of the existing mechanism instead of constituting a separate body.
"We are just worried that a toothless body like the existing one might be constituted again. Companies say they are already providing evidence . But we have recommended for empowering the legal mechanism under the consumer protection act," an FSSAI official said.
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