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MYANMAR: Legal Action Threatened Against Unauthorised Online Sale of Cosmetics Products

Retail businesses that import cosmetics products illegally or sell them via online channels without first procuring the requisite licences will now be liable to legal action, according to a recent announcement by the head of Myanmar’s Department of Consumer Affairs (DCA). The move follows complaints over the online sale of goods that failed to adhere to the country’s newly mandated local language labelling rule, which applies to the majority of imported consumer products.

The DCA said action may be taken after conducting routine checks against unauthorised sellers as well as on an ad hoc basis following consumer complaints about faulty products. Retailers found to have sold cosmetics products in contravention of existing regulations, including those stipulated under the National Food Law, will be liable for any damage or injury caused by faulty or unsafe products, and subject to compensation or revocation of their business licences. Those found to be importing such products via illegal channels may also be fined, imprisoned or both.

While Myanmar’s cosmetics market is mainly dominated by overseas brands, both legally imported goods and locally produced items have been facing increasing competition in recent years from cheaper products illegally imported via the country’s land borders.

The government’s latest measures are therefore expected to level the playing field for genuine businesses, including overseas online retailers. It is also hoped they will improve the operating environment for overseas companies looking to enter the country’s growing cosmetics sector.

Content provided by Picture: HKTDC Research
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