Tuesday, February 21, 2012

THE 77TH ANNUAL GENERAL MEETING OF THE INDIAN SUGAR MILLS ASSOCIATION (ISMA)

INAUGURAL ADDRESS OF HON’BLE MINISTER OF STATE (I/C) CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION AT THE 77TH ANNUAL GENERAL MEETING OF THE INDIAN SUGAR MILLS ASSOCIATION (ISMA)
21ST DECEMBER, 2011 AT NEW DELHI

Shri Narendra Murkumbhi, President, Indian Sugar Mills Association (ISMA), Shri Gautam Goel, Vice-President, ISMA, Shri Abinash Verma, Director General, ISMA, senior Government officials, members of Indian Sugar Mills Association, my friends from the media, ladies and gentlemen! It gives me immense pleasure to be amongst you on this august occasion of the 77th Annual General meeting of the ISMA to share our views with one another on an important segment of our economy, the sugar industry.

2. The mandate given to us is for fulfillment of promises given to the people by the Government - for inclusive growth and equitable development. The faith reposed in us has to be respected and the commitments fulfilled. Our policy decisions, therefore, must reflect a real concern on the part of the Government for providing a future to every citizen of the country that is bright and prosperous.

3. What ails sugar industry, what has been done to promote its cause, what needs to be done to improve upon it and, how far can we go in furthering benefits that can be reaped through understanding our strengths and compulsions? - all these points need deliberation. I was carefully listening to the concerns expressed by the President, ISMA in his Presidential Address. The reaction to the concerns expressed can only come through the prism of a wider canvass for an equitable development of the nation. On the concerns over cyclicality in the sugar sector, one could not agree more; there is a need to tackle this phenomenon to arrive at a long-term solution. I would ask the Department of Food & Consumer Affairs to look into this sympathetically for the importance that it deserves. I would welcome suggestions from the industry and farmer-bodies on how to cope with it. The issue of decontrol or deregulation of the sugar industry, as you are aware, has been discussed at the highest levels. Since this involves a large number of stake holders - from the sugarcane farmers, the sugar mills, the State Governments to the consumers, a consensus needs to be arrived at on this issue. You all know that the Government lowered the percentage at which levy sugar was to be supplied by the sugar mills during 2010-11 on the expectation of a higher production. Based on present production estimates, we have retained the levy procurement at the same level. We have also removed the stock holding limits on bulk consumers of sugar in August 2011. This should improve the off take of sugar in domestic market as the bulk consumers would stop sourcing sugar from abroad. In addition, the stockholding and turnover limits on dealers of sugar have been removed with effect from 1st December 2011. I am sure these will address the concerns expressed.

4. With these concessions, it is imperative that the sugar industry ensures availability of sugar at reasonable prices to the consumer in the coming months. I compliment you for the stability in sugar prices that could be maintained during the most part of the last sugar season. I can understand that the higher cane prices announced by some State Governments would adversely affect input costs and thus the overall cost of production. I can only advise you to take this as a challenge to help improve sugarcane productivity through better agronomic practices in your areas and also attempt to enhance the technical efficiency in a bid to reduce conversion costs. The sugar industry in India is now providing technical support to nascent industry abroad and thus there is no reason why the improvements cannot be brought about in the indigenous sector.

5. I take this opportunity to request the State governments to consider the impact on the sustainability of the sugar sector before announcing radical increases in sugarcane prices, as the wide disparity between cane and other crops may also adversely affect the food security of the country. I would also urge the Department of Food and Public Distribution to consider possible changes in the release mechanism, which could improve the liquidity of the sugar mills in the sugar crushing season without adversely affecting the availability of sugar at a later part of the sugar year.

6. Shri Narendra Murkumbhi has spoken in great detail about the need for a cane price formula to be adopted along the lines being followed in other major sugar producing countries. I may inform you that the matter has been under examination by the Economic Advisory Council to the Prime Minister and, I am sure the matter would get due consideration. I have also made a request that while considering the issue of the cane price formula, the larger issue of de-regulation of sugar sector is also considered, as the Council could better collate the views of all stakeholders.

7. Shri Murkubhi has given an impressive projection of the economics of “Ethanol Blending Programme” and the opportunity it affords in a time of rising fuel prices. You all know that it has been with a great deal of struggle and amidst stiff opposition from certain sectors that the programme could finally take off. You would appreciate that for the programme to go on and be a source of additional revenue for the sugar industry, adequate supply of sugarcane on a sustained basis is imperative. The industry has to seriously look at a long-term perspective and take up cane development as a core activity. This will necessitate better interaction and forging of long-term relationship with farmers. I, on my part, would assure you that my Department would take up the matter with the stakeholder Departments in the Government to expedite the decision on the pricing formula so that there is a greater degree of certainty to the sugar industry regarding the use of ethanol.

8. Now, I come to that aspect of policy which is being pushed the hardest by industry and watched closely by the global market – exports of sugar. I appreciate the need for and the role of export earnings to offset the cane price arrears. I also thank the President for the kind words and compliments he had showered on the Government for its decision for 3 tranches of export, and more so for the benefit accrued to the industry, specifically to every single mill in the country, by the Government’s decision to allocate mill-wise quota. However, you will appreciate that exports cannot take priority over domestic requirements. But let me assure you, projections of output made earlier are being monitored and modalities being worked out should the situation allow for more exports.

9. I am given to understand that ISMA has taken steps to improve the information regarding sugarcane plantation by initiating satellite mapping. I am very glad - this is a laudable step and, I am sure better inputs and information would enable the industry and the Government to be more accurate in our assessment of sugarcane and sugar production which will result in policy decisions being taken more expeditiously. I would also urge upon the industry to take an active role in policy decisions by providing us with correct and timely inputs. The Directorate of Sugar has put a modified reporting system in place. I would exhort the industry to comply with this as timely submission of reports allows for quick policy interventions to the benefit of us all.

10. You will be happy to know that our candidature for holding the 2012 Summer Session and Seminar of the International Sugar Organization (ISO) in India has been formalized with Dr. B.C. Gupta, Secretary, Department of Food & Public Distribution having been elected Chairman of the ISO at its meeting in London in the first week of December 2011. This is a great honour bestowed on India. I would request the ISMA and National Federation of Cooperative Sugar Factories to extend full help and support to the Government to make this great occasion a grand success.

11. Before concluding, let me congratulate the ISMA on completion of another year in the service of the sugar industry. I also happy to compliment Shri Narendra Murkumbhi on his successful innings and wish the incoming President, Shri Gautam Goyal all success as he dons the mantle to guide the industry to a prosperous future. The Government on its part will do everything it can so that the voyage that we take together will result in buoyancy in the sugar industry that will contribute to the thriving of national economy.

JAI HIND!
SPEECH OF PROF. K.V. THOMAS, HON’BLE MINISTER OF STATE (INDEPENDENCE CHARGE) CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION AT THE 56TH ANNUAL NATIONAL CONFERENCE OF INDIAN PUBLIC HEALTH ASSOCIATION (IPHA) AT KOCHI ON FRIDAY, 10TH FEBRUARY, 2012:


It gives me immense pleasure to be amongst you at the 56th Annual National Conference of Indian Public Health Association being held here, at Kochi, the beautiful Queen of Arabian Sea. I congratulate the IPHA Kerala State Branch, which is just two years old, on their laudable proactive efforts in organizing the conference in an appreciable manner.

I am told that the IPHA is the oldest public health association in India having been established in 1956, with a membership of over 6000 – a mix of academicians, research workers, administrators and managers of public and private health care delivery systems/institutions, national and international Non-Government Organizations and freelance public health practitioners. Needless to say, public health associations like the IPHA can play an important role in guiding the public and policymakers in formulation of policies and programmes on public health issues. With your expertise, your contribution will make a difference in the policymaking process and help shape the national debate on matters of public health by identifying and eliminating the constraints, and in planning effective future strategies.

Hon’ble Prime Minister of India, Dr. Manmohan Singh, had stated that the Government will lay the same emphasis on health in the 12th Plan as was laid on education in the 11th Plan. You all will be happy to know that the 12th Plan, with its focus on Comprehensive health Care Coverage, envisages an increase in health expenditure to 2.5% of the Gross Domestic Product (GDP). We have a great challenge on hand in meeting the health needs of the people. The discussions and debates that we have must help us examine the path we have travelled so far and reach the milestones that we have set for ourselves in respect of financing and governance of health services.

It is a matter of great consolation that in terms of life expectancy, child survival and maternal mortality, India’s performance has improved steadily. Life expectancy is now 63.5 years, infant mortality rate is now 53 per 1000 live births, maternal mortality ratio is down to 254 per lakh live births and total fertility rate has declined to 2.6. However, we must also accept the fact that there are wide divergences in the achievements across States. There are also inequities based on rural urban divides, gender imbalances and caste patterns. These are the areas which require a national consensus that will determine the nature of the health system in the coming days; it is here that public health advocates like the IPHA can step in to help/guide the policymakers.

The third Millennium Development Goals – India Country Report 2009 has also cautioned us on gaps in implementation of pro-poor policies in delivery of public services, where health too is a major challenge. The stakes are high. But as we look at the past and the distance that we travelled since independence, it gives us hope that with courage and conviction, we can together strive to bring in improvements in the standards of living of our people. Coming together strengthens us and as we join hands, nothing looks impossible and no problems seem insurmountable.

I hope the three-day conference that you have painstakingly organized will lead to a healthy discussion and debate upon a wide range of issues which you plan to cover including the Millennium Development Goals with their focus on India, universal health coverage and prevention of non-communicable diseases, tobacco cessation, HIV, Pentavalent and other new vaccines, immunization and child rights, management of snake and dog bites, micronutrient deficiency and malnutrition, health system research, Revised National Tuberculosis Control Programme, etc.

I convey my best wishes to all of you and hope the deliberations at the conference with the focus on public health priorities for the 12th Five Year Plan will prove to be quite fruitful.

JAI HIND!

Thursday, February 2, 2012

Silver Jubilee Celebrations of the Consumer Protection ACT-1986



SPEECH OF HON’BLE MINISTER (INDEPENDENT CHARGE) OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION ON THE OCCASION OF NATIONAL CONSUMER DAY 2011 AND SILVER JUBILEE OF THE CONSUMER PROTECTION ACT,1986

Dated: 1.2.2012, IIPA Hall, New Delhi.

I am delighted to be with you today at the Inaugural Ceremony of the celebrations by the Indian Institute of Public Administration, New Delhi marking 25 years in operation of “The Consumer Protection Act, 1986” coinciding with the National Consumer Day 2011. On this momentous occasion, I take pleasure in conveying my hearty congratulations to the Department of Consumer Affairs, State Governments, VCOs, and consumer activists on their vital contribution in building the consumer protection in India into a mass movement - that too, a vibrant one.

2. We have just celebrated completion of 25 years of progressive consumer movement since the coming into force of the Consumer Protection Act. It also presents an ideal opportunity for us to re-focus on how best to meet future challenges of the consumer movement. Indeed, this is an exciting time; because, consumer policy is steadily moving into the forefront of our policy agenda. With globalization, international trade and commerce offers increasing number of new goods and services, hitherto unheard of, in the fields of insurance, transport, electricity, housing, entertainment, finance and banking. The days of the consumer with a passive role in the business equation, and being viewed just as the last stop in the supply chain, be it for goods or services, are over. Consumer policy was even seen by some to be a threat to business success. Not long ago, it was difficult for the consumer to penetrate the wall of a fortified and well organised sector of manufacturers and traders with a deeper knowledge of markets. They were at an advantage which the consumer lacked. But now we have brought about a change in how consumers are perceived in the market place – as primary driving force of economic activity. President Kennedy observed and I quote: "The consumer is the only man in our economy without a high-powered lobbyist. I intend to be that lobbyist." It shows the importance a top industrialised country accords to its consumer. Indeed, there is a growing recognition among the business world that a sound consumer policy would contribute towards successful businesses for the healthy competition that it encourages. It cannot be denied that a consumer empowered with awareness about his rights makes the market function better and thrive. An effective consumer movement drive out inefficient manufacturers out of the market and reward the efficient and innovative ones.

3. The Consumer Protection Act 1986 being the pivotal, the government, consumer activists and associations have to come together to make consumer protection movement quite successful. Consumers play a vital role in the economic system of a nation because in the absence of effective demand that emanates from them, the economy virtually collapses – because, as Mahatma Gandhi succinctly put it, "the consumer is not an interruption to our work; he is the purpose of it.”

4. Amongst the various efforts undertaken, consumer information and education will remain the two most important areas of concentration as they are the most effective means to counter the unscrupulous designs and malpractices of manufacturers and retailers alike. Consumer education is a life-long education to contribute to basic survival needs of all age groups. But among the consumers, the disadvantaged groups, particularly vulnerable to the economic and social inequalities, the low-income earners, the unemployed, the physically and mentally handicapped, the immigrant work force – all they need our special attention. “Jago Grahak Jago” is an innovative attempt at reaching these very segments of the society through the media, especially the electronic media. Educating and empowering the customer through catchy skits on the electronic media would definitely succeed in creating awareness on one’s rights as a consumer. These have proved to be not only educative but empowering too in that this attempt has shocked and surprised the layman about his rights, encouraging him to fight for his or her rights as a consumer. I have asked the Department of Consumer Affairs to examine how this could be made ever more potent through improvements in their contents, delivery mechanism, presentation, etc., so as to be able to cover still wider audience. This is all the more important as a segmented rather than a mass approach may be needed in future to disseminate consumer education through the formal and non-formal systems.

5. Completion of 25 years of implementation of Consumer Protection Act provides us with an opportunity to assess what has been achieved and what still needs to be done. The future of consumer protection will no doubt rely on co-operation between Central and State governments. The Federal system of government will mean that there will be many Constitutional constraints that restrict the Centre’s powers in many areas. A co-operative approach will result in uniform implementation of consumer protection laws and rules across all jurisdictions. A range of reforms in the Consumer Protection Act has been proposed by the Ministry of Consumer Affairs that will have an effect on the laws administered by the States. These changes will further benefit the consumers and speed up the grievance-redressing processes. We are currently gathering input from all stakeholders to assess its impact. Our future strategy will focus on the consumer and will be based on safety, information (and education), redressal and the enforcement of rights. On product safety, we are moving ahead with the revision of the Bureau of Indian Standards Act following extensive consultations with the public and the stakeholders. The amendments felt will clarify and update product safety rules. We seek to deliver more effective, co-ordinated action by market surveillance authorities, a level playing field for businesses, and above all, an internal market of safe goods for Indian consumers. The amended Act would be liberal in that it will allow manufacturers to advertise the quality of their products on their own without a certificate from the BIS. This of course will be subject to surprise checks by the BSI. The Act further stipulates that each company will have a Director in-charge of quality who will be prosecuted in case of violations on this count by the company.

6. Hall-marking of gold has been made mandatory which aims at protecting the interests of consumers and prevent frauds in sale of gold jewellery. The BIS (Amendment) Bill will empower the government to bring in compulsory certification regime any article and/or process that it considers necessary from the point of view of health, safety, environment and prevention of deceptive practice. Besides mandatory hallmarking, the amendments moved by the Ministry sought to introduce registration of relevant standards as an alternative mechanism to the compulsory certification regime to facilitate growth of sunrise sectors and protect consumers from spurious and substandard imports.

6. The future strategy of Consumer policy is to be built on three overarching objectives –
· to empower consumers and to widen choice;
· to enhance their welfare and educate them how to choose; and
· to give consumers effective protection and recourse.

In addition to effective tools for enforcement we need effective mechanisms for redressal of grievances when things go wrong. We have initiated steps with possibilities for an individual consumer to take up alternative dispute resolution mechanisms such as mediation or conciliation. Collective redress is also one area we are currently looking at.

7. I would like to mention about an essential aspect of consumer policy that we should take note of – the changing nature of consumer behaviour and aspirations. Though consumers continue to be concerned about price, choice, quality and safety, ethical considerations are also gaining grounds in the minds of consumers. And environmental concerns – particularly against the backdrop of global warming – are also being felt. Indeed, the concept of sustainable consumption at all levels – political, business and individual – will no doubt dominate policy formations in the years to come. Consumers are major contributors to environmental challenges such as climate change, air and water pollution, land use and waste. The protection of the environment and the fight against “climate change for the worst” calls for better information in areas such as energy and transportation where informed consumers could make a real difference.

8. I would like to conclude my address with three messages which I believe have great importance. First, consumer policy in India has come of age. Delivering what consumer wants is going to be the key to economic success and political credibility. Secondly, we must never lose sight of the fact that consumer’s desires and aspirations are constantly evolving, covering corporate responsibility and sustainable consumption. As the world changes, so do our attitudes and priorities. Finally, the world is getting smaller. It is becoming a global village. Interdependence between markets in the global environment demands that we grow closer together – to seek common solutions and approaches to shared problems and situations, especially in view of developments in global governance that require individual countries to adopt National standards to agree internationally. In a nutshell, national and community efforts that are complementary are essential if we have to achieve our overall objectives. More coherent consumer protection legislations through legitimacy to principles of consumer rights will work towards increasing consumer’s confidence and result in a more competitive internal market.

9. The joy of empowerment is in the availing of opportunities that exist to realize one's full potential. The dreams of a nation marching forward with contribution from all cannot become a reality until every consumer is assure of refreshing winds of empowerment, which can give them the joy of being in charge of their destiny in terms of quality products and services. All of us can be a part of this journey, by making determined, meaningful and constructive efforts that would change the life of consumers, by lending collective support. Let us all therefore, join hands together in this noble journey to celebrate the joy of empowerment of the consumers of India that will result in increased benefits to one and all and, ultimately leading to a prosperous and growing economy that will become the envy of global industrial community.

THANK YOU.

...

26th meeting of the Central Consumer Protection Council Meeting on 31.1.2012, in New Delhi



INAUGURAL ADDRESS OF PROF. K.V. THOMAS, HON’BLE MINISTER (I/C) OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION ON 31ST JANUARY, 2012 AT 11.15 A.M. AT THE NATIONAL COOPERATIVE DEVELOPMENT CORPORATION, NEW DELHI:


Distinguished Members of the Central Consumer Protection Council and Hon’ble Ministers of various States, senior officials from Ministries and Departments of the Government of India, Heads of NGO’s, officers from the Department of Consumer Affairs, friends from the media, ladies and gentlemen:

It gives me great pleasure to be amongst you all at this 26th meeting of the CCPC where we have gathered to deliberate on various issues concerning consumer protection – not only to revisit our achievements but also to examine issues concerning consumer protection in depth which may need further improvements.

We have just celebrated completion of 25 glorious years of Consumer Protection Act 1986. A watershed in consumer movement, the enactment of the Act has been a benevolent social legislation, laying down the rights of consumers and providing means for their promotion and protection. The Consumer Protection Act mandates formulation of “Consumer Protection Councils” at District, State and National levels with an objective to protect rights and interests of consumers. The CCPC is the apex body functioning at the national level in which you are all members with a significant role to advise and guide on the policy issues relating to the interests of the consumers. Your valuable views and suggestions will guide us to improve our functioning towards consumer welfare. The consumer forums, the Lok Adalats provide inexpensive and speedy justice. You all may be aware that the three-tier quasi-judicial machinery set-up has, as on date, disposed of more than 32 lakh cases so far with a disposal rate of almost 90 per cent. The Department has taken a number of steps to improve the functioning of the consumer forums which includes financial assistance to the States for creation of infrastructural assets for better working environment of the forums. You will also be happy to know that under the project “Computerization and Computer Networking of Consumer Forums in Country” we have tried to computerize and network the consumer forums for better, transparent and easier functioning to protect consumers from all forms of exploitation and to ensure that the Consumer Protection Act delivers on its promises to the consumers.

“A Consumer Protection Regime” does not merely consist of laws and legislations. It is rather a constant interaction between businesses, government regulators, media, civil society organizations and most importantly, the consumers. The Department of Consumer Affairs has been addressing all the possible areas of bottlenecks, those which arise while implementing the Consumer Protection Act. We have comprehensively amended the Act three times in the years 1991, 1993 and in 2002 to make it more purposeful for the benefit of consumers. I am happy to inform you that in order to widen the scope of the Act for a 4th time and to remove the existing bottlenecks and to speed up the disposal of the cases within the specified time-frame, the Consumer Protection (Amendment) Bill, 2011, was introduced in the Lok Sabha on 16th December, 2011. I earnestly hope that the new amendment provisions would further improve the performance of the machinery in protecting the interests of consumers.

“Jago Grahak Jago”, the innovative campaign of the Department of Consumer Affairs educates the layman on his rights as a consumer through the electronic and print media. They succeeded in reaching a wider audience to educate them on their rights as consumers. Their conceptualization has been so attractive that even a layman can understand its message that has been put across in a simple way.

The Department is also looking at the issue of misleading advertisements of dishonest manufacturers, traders and service providers. These basically violate the consumer’s rights especially to “information and choice” and thereby have the potential to cause the consumer financial loss and even mental agony. As their influence on consumer choice is undeniable, the advertisements should observe fairness in competition and should respect the professional ethics so that the consumer’s need to be informed on choices in the market place is better served. Misleading and false advertisements are not only unethical but also distort competition and consumer choice. Our aim here has been to evolve a holistic, workable, comprehensive and enforceable approach. I look forward to having your wise counsel when we take up this important agenda during the course of the proceedings.

Another important area that has been engaging our attention is wastage of food witnessed at big social gatherings due to conspicuous consumption. This is highly reprehensible especially when millions of our people are struggling for a morsel of food and need to be tackled at societal level with the co-operation and involvement of all right thinking individuals.

Let me, before summing up recall what Mahatma Gandhi had said on the consumer and I quote: “A Consumer is the most important visitor on our premises. He is not dependent on us; we are on him. He is not an interruption to our work; he is the purpose of it. We are not doing a favour to a consumer by giving him an opportunity. He is doing us a favour by giving us an opportunity to serve him.” This statement of the Mahatma succinctly puts in a few words what all our laws, acts and statutes must stand for.

Now, I would request all of you to kindly share with us your views, opinions and suggestions on how best our policies and programmes can be shaped further so that they become valuable and powerful tools in the hands of the consumer with which he/she can become wise when it comes to acquiring the right product or service at the right price. I also take the opportunity to thank Hon’ble Ministers of various States/UTs who have taken time off their busy schedule to be present here. I hope the deliberations that we are going to have now will prove to be quite beneficial to one and all.

JAI HIND!