DTI News

DTI-NCR seized P8 million worth of uncertified products

The Department of Trade and Industry-National Capital Region (DTI-NCR) together with the Philippine Product Safety and Quality Federation (PPSQF) representatives confiscated over P8 million pesos worth of uncertified LPG cylinders, flat glass, ceramic tiles, sanitary wares and steel angle bars.

According to Assistant Secretary Angel Pelayo-Ty, 13 retailers from Mandaluyong and Quezon City were found in violation of Republic Act 4109 or the Product Standards Law as well as Department Administrative Order (DAO) 2, series of 2007.

Flat glass, LPG cylinders, ceramic tiles, sanitary wares and steel angle bars are covered by the mandatory product certification requirement of the Philippine National Standards (PNS). Said products must carry and display on the product itself all necessary product identification marks.

The markings/ labels will ensure the consumers that the products have undergone testing and have obtained the necessary certification signifying product quality and safety.

During the routine market monitoring, it was found that the products offered for sale do not bear the required identification and product markings.

Thirty-eight LPG cylinders, 68 figured flat glass, more than 41,000 ceramic tiles and sanitary wares, and around 1,150 steel angle bars were seized and brought to the DTI-NCR warehouse pending the resolution of the case.

Administrative charges were pressed against the retailers. If found guilty, violators will be met with corresponding fines ranging from P100, 000 to P300, 000.

“Let this activity serve as a warning to both manufacturers and retailers that DTI and our partners in the private sector, such as PPSQF and its affiliate member organizations, remain steadfast in our monitoring. The safety of consumers should be everyone’s primary concern,” Asec. Pelayo ended.

Business Name Registration rise by 9%

The Department of Trade and Industry-National Capital Region (DTI-NCR) registered a total of 26, 427 business names for the first quarter of this year, a 9% increase compared to the same period last year. The first quarter of the year is considered the peak season of business name (BN) registration.

Assistant Secretary Angel Pelayo expressed optimism on this positive development. “As we recover from the global financial crisis, we hope to see an increasing number of businesses starting anew, and more Filipinos joining the entrepreneurial movement,” she said, adding that jobs and income generated by small businesses are crucial in our economic development.

Data also shows that more business name applications were received and processed through the web during the first quarter. There was a 49% increase, with 2,656 business names processed and approved via the Internet this year, compared to 1,781 of last year’s first three months.

Online business name applications are processed through the Web-enabled Business Name Registration System (Web BNRS). This project is consistent with the government’s crusade against red tape.

“We wish to simplify the unnecessary complexities of our day-to-day operation while making registration fast and easy for our entrepreneurs,” Asec. Pelayo said.

To help promote the Web BNRS and encourage the shift towards online registration, DTI issued a memorandum directing all BN renewal to apply online. In support of this objective, DTI-NCR is continuously enhancing its BNR facilities to deliver more efficient services to its clients.

Entrepreneurs can complete the registration from the comfort of their homes with payment being accepted through G-Cash. DTI-NCR’s partnership with SM and Mail and More has made registration more convenient. Twelve (12) SM Business Service Centers are ready to assist clients for end-to-end processing of applications. Since January of this year, Mail and More has aided BN applicants at their 26 Global Business Centers in NCR. Also this year, DTI-NCR has finalized agreements with the local government units of Metro Manila to operationalize their respective Philippine Business Registry (PBR) kiosks.

DTI encourages entrepreneurs to register their business names now, with the 50% discount on processing fee still in effect. They may register their business name for only P165.00, including P150.00 for processing fee and P15 for the documentary stamp tax. The discount lasts until June 30, 2010.

For more information on BN registration and the procedure for online registration, please call DTI Direct at 751-3330 or visit www.dtincr.ph.

DTI-NCR Filed 40 Admin Cases in 1Q 2010

For the first quarter of the year, the Department of Trade and Industry-National Capital Region (DTI-NCR) has filed forty administrative cases against businesses found violating fair trade laws (FTLs). These include the Consumer Act of the Philippines (RA 7394); Price Act (RA 7581); Standards Law (RA 4109) and PD 1572, a law which provides for the accreditation of service and repair shops.

“These efforts, aside from protecting consumer welfare, are done to weed out businesses that do not play within the rules of the game.” Assistant Secretary Angel Pelayo said.

Respondents of said administrative cases filed by the regional office include Arysta Marketing, Green Top Marketing and Hoffman Marketing. The three were charged with violation of Articles 50 and 52 of the Consumer Act of the Philippines pertaining to unfair or unconscionable sales act practice by a seller.

As narrated in the numerous consumer complaints against erring establishments, representatives from Arysta, Green Top and Hoffman Marketing lure potential customers to believe that they have won a gift or prize, when the subject product is not in fact a “gift.” Target customers are in fact required to purchase an additional exorbitantly-priced item to receive said “gift”. Preventive Measure Orders have been issued by DTI-NCR prohibiting the three companies from employing said deceptive marketing scheme.

Other administrative cases involve infringement of the Standards Law and related Department Administrative Orders.

Huma Corporation, a distributor of ceramic tiles, was formally charged for distributing its products prior to the issuance of an Import Commodity Clearance (ICC).

Similarly Midway Road Trading, an importer of cement products, violated the terms of the DTI Conditional Release, wherein it is stipulated that products should not be transferred in whole or in part pending issuance of the ICC. Furthermore, the cement products found inside the respondent’s warehouse had a brand different than what was declared by the company.

DTI-NCR is working with the National Bureau of Investigation (NBI) regarding this specific case.

“The most effective way to stop the proliferation of these deceptive practices and illegal trade practices is through an informed citizenry. Consumers should remember that the best deterrent and sanction to these unscrupulous business entities: zero sale in their cash register,” Asec. Pelayo ended.

“These efforts, aside from protecting consumer welfare, are done to weed out businesses that do not play within the rules of the game.” Assistant Secretary Angel Pelayo said.

For consumer-related inquiries and complaints, the public can call DTI-Direct 751-3330.

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