Dubai: The Commercial Compliance and Consumer Protection Sector (CCCP) of the Dubai Department of Economic Development (DED) has warned consumers not to be involved in any online shopping before checking the company profile.
Dubai-based businesses that want to indulge in online activities, should be registered with the DED as well as should have a physical headquarter through which they operate the business from, or have a confirmed website registered under the .ae domain name, said Omar Bu Shahab, CEO of the registration and licensing sector at DED.
Several companies were found violating the consumer protection law by promoting and selling their goods and services online without having the DED licence, said Mohammad Loutah, chief executive of CCCP. He said that Dubai authorities will take action to protect consumers’ rights in case of any fraud online transaction if the company is based in the emirate. However, he added, nothing can be done if consumers are involved in a purchase activity with a fake company or with a firm which has no presence in the local market.
“Business owners can sell their products online or promote their goods via any of the social media channels if they are licenced by DED,” Loutah said.
Dubai authority recently caught an individual who was enticing customers via BlackBerry Messenger (BBM), trying to sell them different kinds of goods. And the case was transferred to Dubai Courts for practicing trade illegally without obtaining a valid licence from the DED.
In 2012 CCCP asked retailers to display the DED consumer complaints helpline number, 600 545555, when they offer goods or services for purchase online in order to ensure the credibility of the portal.
Consumers can also contact the consumer protection helpline and check up the portal background, according to DED. Also, the CCCP department has a daily scan for online companies that are violating the e-commerce rules and regulations by posting deceptive commercial promotions, or advertising without licence and selling fake goods.
According to the UAE consumer protection law online shoppers across the UAE are protected by the consumer protection law, and that the government can take action if consumers’ rights have been breached by businesses operators. It can also lead to heavy fines as well as blocking of the company’s website via the UAE Telecommunication Regulatory Authority (TRA).
Global online retail sales are expected to reach $4.3 trillion (Dh15.8 trillion) by 2025 accounting for 19 per cent of the overall retail sales, according to Frost & Sullivan.
The UAE is expected to be a key market for eCommerce across the GCC (Gulf Cooperation Council) with a total market share of 53 per cent which is expected to touch Dh80 billion in 2020.
