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As Bhutan pursues economic growth and achieves Gross National Happiness while navigating an increasingly globalized market, striking a delicate balance between economic interests and safeguarding the fundamental rights of consumers to be protected from potential harm from unsafe or misleadingly marketed products has become a key issue. Recent news about unlabeled imports such as Johnson & Johnson’s talc products, Patanjali products, and Thai jelly candies highlight the urgency of addressing these issues.
Bhutan’s Consumer Protection Act was enacted to protect consumer rights and promote product safety. Section 4(a) of the Act provides for the fundamental right of consumers to have their life, health and safety protected when consuming goods and services. Section 4(b) provides that consumers have the right to accurate, adequate, clear and timely information about products and services offered, including their prices, features, quality and potential risks. Such transparency is essential for consumers to make informed decisions and avoid potential harm. The Consumer Council has the power to declare any product or class of products unsafe (Section 22). In addition, the Act and Rules prohibit misleading advertising, labelling requirements and fair prices, among other things.
This week, Johnson & Johnson agreed to pay $700 million to settle investigations by 42 U.S. states and Washington, D.C., into its marketing of Baby Powder and other talc products that it accused of causing cancer. The company faces more than 50,000 lawsuits in the U.S. Johnson & Johnson has paid more than $2 billion in settlements to date and has spent about $4.5 billion defending and settling talc lawsuits, including $178 million in its controversial “Texas Two-Step” bankruptcy. Disclosed documents show that Johnson & Johnson knew for decades that its talc supply was potentially contaminated with asbestos, and even though the company claimed on its website that its talc-based baby powder was asbestos-free and safe, it still stepped up its marketing efforts to high-user populations such as African-American women.
Similarly, India’s Supreme Court ruled last month that Patanjali Ayurved was guilty of misleading advertising practices and revoked the license of some of its products, raising many questions about Patanjali’s claims. Some states in India have banned the sale of 14 of Patanjali’s products.
Another concern is imported goods such as Thai gummies marketed as children’s vitamins that contain appetite suppressants and are intended for adults seeking to lose weight. Clear and accurate labelling in both Dzongkha and English is a legal requirement under the Consumer Act and Regulations, which facilitates informed decisions and fair pricing. These products also enjoy free pricing. For example, Thai jelly that costs 10 baht (25 ngultrum) in the Thai market is sold for 40 to 60 ngultrum per piece in Bhutan. Despite these serious concerns, these products continue to be sold freely in the Bhutanese market, posing a significant risk to public health and safety.
The worrying cases of these products are a wake-up call for the government to take decisive action. The potential consequences of these products posing serious health risks or failing to live up to their claims cannot be ignored. The Competition and Consumer Affairs Authority, Bhutan Food and Drug Authority and other relevant agencies must work together to ensure that only goods that are proven safe and meet the safety standards we require are available. Strict import controls, thorough product inspections, and strict enforcement of labeling requirements are essential to protect consumers from potential harm.
Sonam Tsering
Lawyer, Thimphu
Disclaimer: The opinions expressed in this article are the author’s own.
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