The ASASA Code

Comments on the Advertising Standards Authority of South Africa(ASASA) Proposed Industry Code and Ombudsman Scheme for Approval in terms of section 82(3) (a) of the Consumer Protection Act 68 of 2008 (CPA) was open for comment until the 19 October 2016. CGCSA provided submissions on behalf of some of their members with certain members electing to submit individual comments.

The regulation of advertising is essential for the country and ASASA has been the voluntary regulator. They now seek accreditation of their code from the NCC in terms of the CPA.

The CGCSA members place consumer protection at the heart of its business, recognizing that consumers have the right to transparency, to fair business practices and to the right of redress amongst others. However members do maintain that there needs to be a balance between raising the standards of good conduct in the industry without endangering the vitality and growth of business.

The key concerns to the industry as highlighted in the submission are the following:

  • The overlap of jurisdiction between the Consumer Goods and Services Code of Conduct that they subscribe to and the ASASA code as well as the various other pieces of legislation that regulate advertising e.g. the FCD act and regulations.
  • How the code will regulate interactions between and among persons conducting business within the advertising and marketing industry.
  • The definition of Participant and subscriber as defined in the code as well as clarity on the funding model which is not currently included in the Code.
  • The selection process used in deciding which specific Annexures to code should be included. Currently only the following annexures are included: Alcohol, Cosmetics, Direct marketing, Time Sharing, Pet Food and Environmental Claims. The Marketing for children code that was drafted by the food members was not included as the nutrient criteria is still being drafted for inclusion by the North West University. Once completed application will be made to include same as an annexure to the Code.

ASASA has considered our submissions and has now formed committees to deal with all the submissions received. The CGCSA has been nominated to sit on these committees and will keep members updated as to the progress herein.

Waste Management

National Environmental Management: Waste Act, 2008 (Act No. 59 of 2008) Notice to the paper and packaging industry, Electrical and Electronic Industry and Lighting Industry to prepare and submit to the Minister Industry Waste Management Plans for Approval.

An initial call for industry waste management plans was made by the Minister on the 12 August 2016. After much dissatisfaction with the poor drafting of the notice was expressed by industry, it was withdrawn and notice 1011 was published calling for industry to make comments on the notice.

The CGCSA maintained its original position as outlined in the submission that the CGCSA members support the drive for sustainable waste management in South Africa. Members recognise the urgent need for a collective approach to be taken however still seek clarity on who falls under the scope of the notice. There is still uncertainty as to who in the industry should register within the 12 month period outlined for registration and submission of plans to the DEA. CGCSA suggested that the notice be withdrawn once again to allow for a workshop with all the key stakeholders as well as DEA to come up with a holistic solution to this matter. For a copy of the CGCSA’s detailed submission please contact makutlwanom@cgcsa.co.za

THE LIQUOR LANDSCAPE

The Draft Liquor Amendment Bill 2016 and the Final National Liquor Policy 2016 were published on the 30 September 2016.

The Final National Liquor Policy 2016 is for noting purposes and has been used as a reference in the drafting of the Draft Liquor Bill. There is a specific stress on the age limit of 21 years based on the research by the WHO.

The Draft Liquor Amendment Bill 2016 is open for comment before the 30 October 2016. The Bill will amend the Liquor Act, 2003 with specific focus on the following:

  • to amend certain definitions;
  • to provide for the restriction of advertising of liquor or methylated spirits;
  • to provide for trading days and hours for the distribution and manufacturing of liquor or methylated spirits;
  • to prohibit the supply of liquor or methylated spirits to persons under the age of 21;
  • To provide for auxiliary conditions for granting of liquor license;
  • to provide for the prohibition of trading in liquor within certain radius;
  • to provide for the recognition and functions of persons designated as inspectors;
  • to provide for the repositioning of the National Liquor Authority as the Regulator;
  • to provide for establishment of an internal review mechanism;
  • to provide for proximity location for manufacturing and distribution of liquor;
  • To provide for the issuance of the Broad-Based Black Empowerment level of compliance and guidelines for combatting socio-economic harms caused by liquor abuse;
  • To provide for certain new offences;
  • And to provide for matters related thereto.

CGCSA will be providing consolidated comments on behalf of industry. . For a copy of the CGCSA’s detailed submission please contact antheab@cgcs.co.za