Supreme Committee for Consumer Protection successfully addresses restaurant service charge issue, says Al Mansouri

Published April 25th, 2010 - 08:03 GMT
Al Bawaba
Al Bawaba

Sultan Bin Saeed Al Mansouri, Minister of Economy and Chairman of the Supreme Committee for Consumer Protection, headed the first meeting of the Committee for 2010 in Dubai.

The meeting discussed measures relating to managing food prices, and the latest updates on the early alert system and the Ministry’s of health report about energy drinks and the illegal service charge levied by some restaurants in the UAE.

Participants reviewed the implementation of the decision of the Supreme Committee for Consumer Protection on the service charge added to bills in restaurants and cafes, which was implemented on February 1, 2010 in all restaurants and cafes in the Emirates, which are not subject to additional taxes by municipalities or other government agencies.

The Ministry of Economy and local departments imposed fines on offenders and 95 to 98% of the restaurants and cafes in the UAE have implemented the decision, the meeting said.

Mr Al Mansouri praised the efforts of the Committee and local departments in preventing restaurants from levying additional service charge. He said that the Committee has recommended the implementation of Article 3 of the Consumer Protection Law and will contact all government departments to take actions against restaurants that levy the illegal service charge.

He added: “We have succeeded in creating equilibrium and stability in the UAE markets. By coordinating with local government departments all over the UAE, the committee is exerting tremendous efforts to monitor prices and prevent any price manipulation attempts.

The committee discussed the economic impact of fish production and consumption in the UAE. Highlighting the fact that the population growth has put pressure on supply in addition to the issue of half the fishing community leaving the trade because of high cost of fishing involved.

The Ministry of Economy will conduct a joint study with the Ministry of Environment and Water to address the issue and enhance fish production.

The ministry also recommended building refrigerated and frozen warehouses to increase the stock of fish, regulate the supply and demand, and maintain price stability.

 

Other issues discussed included updates on the Early Alert System to ensure that prices of essential goods are managed effectively. The Ministry of Economy has arranged  several meetings with customs departments and other local departments to strengthen cooperation and exchange technical information and data on prices of food commoditie.

The system investigates the reasons behind the shortage of commodities globally, and plans means to prevent unprecedented price rises due to supply fluctuations in the international markets.

The Committee discussed the issue of energy drinks having recommended in its fourth meeting its impact on the health of consumers. The committee works with the  Ministry of Health to address this issue.

The Committee also presented a report on car agencies and the efforts undertaken by the Ministry to deal with the issue of manufacturing defects for cars. It has held extensive meetings with car agents in the UAE and discussed the problems faced by consumers and developed appropriate solutions, as per Federal Law  No. 24 of 2006 of consumer protection.

The Committee also addressed the need for a weekly price list of goods between 2009-2010 which features 650 commodities now compared to 250 in 2009. The Committee also reviewed the 33 items that have been recalled by the Consumer Protection Department at the Ministry and local departments during the first quarter of 2010 from the UAE markets for various reasons.

Subscribe

Sign up to our newsletter for exclusive updates and enhanced content