World Consumer Rights Day 2025 : Major initiatives and developments in consumer protection

“World Consumer Rights Day, observed every year on March 15, is a reminder of the importance of upholding consumer rights and protection. The day is an occasion to promote the basic rights of all consumers and to encourage those rights to be respected and protected”

New Delhi 15/03/2025 Report by Santosh Seth

World Consumer Rights Day was first celebrated in 1983. The date was chosen to commemorate President John F Kennedy’s address to the US Congress on March 15, 1962, where he became the first world leader to formally recognise consumer rights.

The theme for World Consumer Rights Day 2025 is ‘A just transition to sustainable lifestyles.’ The theme reflects the urgent need to make sustainable and healthy lifestyle choices available, accessible and affordable to all consumers – while ensuring that these changes uphold people’s basic rights and needs. This year’s campaign highlights the pathways required to achieve sustainable lifestyles and calls for stronger consumer protection and empowerment across the globe.

The Department of Consumer Affairs, Government of India has launched several new initiatives and policies to empower consumers, strengthen grievance redressal mechanisms and ensure transparent and fair markets. In 2024, major developments include improvements in e-commerce regulation, digital consumer protection, product safety standards and sustainable consumption initiatives.

Consumer Protection Act, 2019

With the objective of modernising the framework governing consumer protection in the new era of globalisation, technology, e-commerce markets, etc., the Consumer Protection Act, 1986 was repealed and the Consumer Protection Act, 2019 was enacted.

The Consumer Protection Act, 2019 provides for a three-tier quasi-judicial mechanism at the District, State and Central levels, commonly known as “Consumer Commissions” to provide simple and speedy redressal of consumer disputes including disputes relating to unfair trade practices and protection of rights of consumers. The Consumer Commissions are empowered to grant relief of a specific nature and to award compensation to consumers, wherever appropriate.

Further, as per Section 38(7) of the Consumer Protection Act, 2019, every complaint shall be disposed of as expeditiously as possible and efforts shall be made to dispose of the complaint within a period of three months from the date of receipt of notice by the opposite party where the complaint does not require analysis or testing of goods and within five months if it requires analysis or testing of goods.

Consumer Welfare Fund

The overall objective of the Consumer Welfare Fund is to provide financial assistance to promote and protect the welfare of consumers and to strengthen the consumer movement in the country.

Under the rules, funds are released to States/UTs as seed money in the form of lump sum grants on the basis of 75:25 (90:10 in case of special category States/UTs) for creation of Consumer Welfare (Corpus) Fund.

The States/UTs are required to undertake activities to provide coverage to projects for consumer welfare of local relevance from the interest generated in the Corpus Fund every year.

During the FY 2024-25, an amount of Rs. 32.68 crore has been released to various States as Central Government share for establishment/augmentation of their respective State Consumer Welfare (Corpus) Funds. Thus, out of 28 States and 8 Union Territories, 24 States and 1 Union Territory have established Consumer Welfare (Corpus) Fund.

Strengthening Consumer Grievance Redressal Mechanism

Expansion of e-Daakhil for Online Consumer Complaints

Due to restrictions imposed on consumers in COVID-19, e-Daakhil portal was introduced as an affordable, quick and hassle-free system for filing consumer complaints. e-Daakhil is an innovative online platform designed to streamline the consumer grievance redressal process.

It provides consumers with an efficient and convenient way to access the relevant consumer forum, without requiring them to travel and appear physically to file their complaint. Since its inception, e-Daakhil has been a game-changer in promoting consumer rights and ensuring timely justice.

The e-Daakhil portal was first launched by the National Consumer Disputes Redressal Commission on 7 September 2020. After the introduction of e-filing across the country, the Government has also launched e-Jagrati, which will further streamline case filing, tracking and management, ensuring a hassle-free experience for consumers and other stakeholders.

It will also facilitate seamless communication between all parties, leading to faster resolution of disputes. By automating and digitising the process, e-Jagrati will reduce delays, reduce paperwork and ensure timely disposal of cases, ultimately contributing to a more effective and accessible justice system for consumers.

Reforms in National Consumer Helpline (NCH)

NCH has emerged as a central point for consumers seeking resolution of their grievances. It has played a vital role in enabling consumers to register complaints and find solutions in an efficient and effective manner.

To further enhance the consumer grievance redressal process, the National Consumer Helpline (NCH) has launched the NCH 2.0 initiative, which incorporates advanced technologies to streamline grievance redressal.

This includes the introduction of AI-powered speech recognition, a translation system, and a multilingual chatbot. NCH was upgraded with AI-powered assistance and expanded multilingual support to help consumers register complaints effectively.

Additionally, the helpline was integrated with various regulatory bodies such as Food Safety and Standards Authority of India (FSSAI) and Bureau of Indian Standards (BIS) for quick resolution of consumer issues.

The number of calls received by NCH has increased more than tenfold, from 12,553 in December 2015 to 1,55,138 in December 2024. The Department has revamped the National Consumer Helpline (NCH), making it a central platform for grievance redressal at the pre-litigation stage.

Available in 17 languages ​​including Hindi, English and regional languages, the helpline allows consumers to lodge complaints through the toll-free number 1915.

Complaints can also be lodged through the Integrated Grievance Redressal Mechanism (INGRAM) portal, which offers multiple channels such as WhatsApp, SMS, email, NCH App, web portal and Umang App for easy access.

The portal provides a seamless and easy-to-navigate interface, allowing consumers to lodge complaints with minimal effort. From filing complaints to tracking their status, e-filing ensures a paperless and transparent process with regard to filing cases.

NCH has partnered with over 1000 companies under its convergence programme to expedite resolution of complaints. These companies are spread across key sectors including e-commerce, travel and tourism, private education, FMCG, consumer durables, electronic products, retail shops, automobile, DTH and cable services and banking. Complaints related to these convergence companies are routed directly to them for online resolution.

Jago Grahak Jago Portal and Mobile App

The Department of Consumer Affairs provides essential e-commerce information about all URLs during consumer’s online activities through Jago Grahak Jago online portal and recently launched mobile application, and alerts them if a URL may be unsafe and needs to be cautious. These portals are dedicated to empowering consumers by providing them with information, resources and support required to make informed decisions and assert their rights in the marketplace.

Consumer Protection in E-Commerce and Digital Transactions

New E-Commerce Guidelines

To protect consumers from unfair trade practices in e-commerce, the Department of Consumer Affairs has also notified the Consumer Protection (E-Commerce) Rules, 2020 under the provisions of the Consumer Protection Act, 2019.

These Rules, inter alia, outline the responsibilities of e-commerce entities and specify the liabilities of marketplace and inventory e-commerce entities, including provisions for customer grievance redressal.

The Central Consumer Protection Authority (CCPA) released the “Guidelines for Prevention and Regulation of Dark Patterns, 2023” on November 30, 2023. These guidelines address and regulate 13 specific dark patterns identified in the e-commerce sector, with the aim of preventing deceptive practices that mislead consumers.

E-commerce – Principles and Guidelines for Self-Governance Draft Standard by BIS

The draft Indian Standard on “E-commerce – Principles and Guidelines for Self-Governance” by the Bureau of Indian Standards (BIS) aims to establish a transparent, fair and consumer-friendly framework for online marketplaces.

It outlines principles at three key stages—pre-transaction, contract formation and post-transaction—to ensure ethical e-commerce operations. The document mandates clear product disclosures, including pricing breakdowns, seller details, country of origin, return policies and data privacy measures.

It enforces explicit consumer consent for transactions, prohibits misleading advertisements and strengthens the grievance redressal mechanism under the Consumer Protection Act, 2019.

By prioritising consumer rights and fair business practices, the standard seeks to empower buyers with greater transparency and security in online transactions. It prevents deceptive pricing, hidden charges and forced bundling of services while ensuring secure payment processes and clear refund policies.

The document also includes anti-counterfeiting measures, requiring platforms to swiftly resolve complaints about counterfeit products. Additionally, it mandates that e-commerce platforms protect consumer data, obtain explicit consent for marketing communications and provide accessible mechanisms for dispute resolution.

If implemented, this framework will enhance consumer trust in e-commerce, promote ethical business conduct and create a more accountable digital marketplace in India.

As India celebrates World Consumer Rights Day 2025, its focus is on ensuring a more secure, transparent and consumer-friendly economy.

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