SYLLABUS

GS-2: Government policies and interventions for development in various sectors and issues arising out of their design and implementation.

Context: National Consumer Day is observed annually on 24 December to mark the President’s assent to the Consumer Protection Act, 1986, which laid the foundation of a comprehensive consumer rights and protection framework in India.

More on the News

• Theme:  “Efficient and Speedy Disposal through Digital Justice” underscores India’s shift towards technology-enabled, inclusive and time-bound consumer justice delivery. 
• The World Consumer Rights Day is observed on 15 March.

Evolution of Consumer Protection Framework in India

1.Consumer Protection Act, 2019: The Consumer Protection Act, 2019 (enforced from 20 July 2020) replaced the 1986 Act to address challenges arising from e-commerce, misleading advertisements, unfair trade practices and digital marketplaces. 

• Three-Tier Consumer Dispute Redressal Mechanism:  The Act establishes a quasi-judicial three-tier system:

• District Consumer Disputes Redressal Forum (District Forum) - the first tier, located at the district court, adjudicates complaints involving claims up to Rs. 50 lakhs.
• State Consumer Disputes Redressal Commission (State Commission) - the second-tier, state-level body deals with complaints exceeding Rs. 50 lakhs and up to Rs. 2 crore.
• National Consumer Disputes Redressal Commission (National Commission) - the apex tier, operating at the national level, addresses complaints involving complaints above Rs. 2 crore.

2.Central Consumer Protection Authority (CCPA): The Central Consumer Protection Authority (CCPA), established on 24 July 2020 under the Consumer Protection Act, 2019, acts as a regulatory body entrusted with safeguarding the collective interests of consumers, with its functions encompassing:

• Protecting and enforcing consumer rights by preventing unfair trade practices and ensuring that goods and services are not sold in violation of the Act.
• Monitoring and regulating advertisements to curb false or misleading claims and promote transparency in the marketplace.
• Initiating action against manufacturers, endorsers, and publishers involved in disseminating misleading advertisements.

3.The Consumer Welfare Fund: The Consumer Welfare Fund supports initiatives for protecting consumer interests and strengthening the consumer movement, with financial assistance to States and Union Territories for creating a Consumer Welfare Corpus Fund on a 75:25 basis, and 90:10 for Special Category States/UTs, with activities funded through interest earnings

• During FY 2024–25 (as on 31.12.2024), ₹38.68 crore was released to States and Union Territories under the Fund.

• e-Jagriti - Revolutionizing Consumer Justice in 2025: e-Jagriti, launched on 1 January 2025, is a unified digital platform for consumer grievance redressal that integrates OCMS, e-Daakhil, NCDRC CMS, and CONFONET, enhancing accessibility and simplifying procedures across all consumer commissions.
• National Consumer Helpline 2.0: The Department of Consumer Affairs has upgraded the National Consumer Helpline (NCH) through the introduction of AI-enabled NCH 2.0, which offers multilingual support, chatbot-assisted interactions, online complaint registration, pre-litigation remedies, and access to consumer rights.
• Jago Grahak Jago Portal and Mobile App: It  uses advanced digital tools to detect deceptive online practices, provide verified e-commerce information, and alert users to potentially unsafe websites, while enabling real-time monitoring and swift action to strengthen consumer protection.
• Bureau of Indian Standards (BIS): BIS, India’s national standards body under the BIS Act, 2016, plays a central role in standard formulation, product certification, and quality assurance, thereby ensuring safe and reliable products, reducing consumer health risks, supporting export competitiveness and import substitution, and promoting uniform product specifications across markets.
• National Test House: NTH, under the Department of Consumer Affairs, is a leading scientific institution providing testing, calibration, evaluation, and quality control services to support industry, standardisation, and indigenous manufacturing, and is modernising its operations through digital initiatives such as the Laboratory Data Automation System and a mobile application to enhance efficiency and service delivery.
• The Legal Metrology Rules- Recent Amendments (2025): In October 2025, the Legal Metrology (Packaged Commodities) Amendment Rules, 2025 were notified, aligning medical device packaging and labelling requirements with the Medical Devices Rules, 2017. 

Conclusion

• National Consumer Day 2025 reflects India’s commitment to consumer rights, trust in markets, and digital justice, with technology-driven grievance redressal platforms strengthening access, transparency, and efficiency. 
• Ongoing legal, institutional, and regulatory reforms have fostered a responsive consumer protection framework, while advances in standards, quality assurance, and fair trade practices reinforce the vision of a consumer-centric, transparent, and equitable economic ecosystem.

Source:
PIB
DD News
Prs India