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Discussion Document
October 2005
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Options
23. There are regulatory and non-regulatory options for
addressing the safety concerns regarding dummies/pacifiers. A
non-regulatory option includes:
- industry self-regulation.
24. Regulatory options in the form of product-specific
intervention under the Fair Trading Act include:
- product safety standard
- unsafe goods notice (product ban)
- product recall.
Maintaining the Existing
Requirements and Industry Self-Regulation
25. The Product Safety Standards (Children's Toys)
Regulations 1992 are revoked by the new regulations on 8
September 2006 and coverage will revert to the general safety
obligations under the Consumer Guarantees Act 1993. Consumers
and retailers would have to rely on suppliers to provide
adequate information.
26. The removal of the 1992 regulation is not a "do
nothing" option. The measures available under the Fair Trading
Act, such as recalling products which are found to be unsafe
or are likely to cause injury would continue to be available
on a case-by-case basis. These measures are designed to deal
with one-off situations.
27. Major suppliers have a long term commitment to the
market and reputations to maintain. Small and often transient
market participants however are a feature of this market
sector. These suppliers appear largely unaware of some of the
regulatory requirements and the prospect of gaining their
voluntary compliance is not good.
Mandatory Product Safety Standard
28. This is the preferred option.
29. Stakeholders have already shown their support that
continued regulation for dummies/pacifiers is warranted.
30. Product safety standards are designed to address
generic safety issues that apply to an entire class of goods.
Adopting national standards that have been drawn up by
industry and consumer representatives, will provide achievable
safety outcomes. This option is intended as a preventive
measure against identified safety concerns and provides a
benchmark of safety in terms of design, construction,
performance, and information as to use. Product safety
standards are mandatory and are enforced by the Commerce
Commission in the market, and the NZ
Customs Services at the border.
31. The mandatory product safety standard will provide the
necessary benchmark to ensure that dummies/pacifiers within
the market meet minimum safety requirements. The mandatory
standard would ideally specify the small part requirement of
AS 2432-1991
Babies' Dummies for dummies/pacifiers to ensure a safe
product.
Contents of a Mandatory Standard
32. Should a product safety standard be declared, it is
most likely to conform to the national voluntary standard
AS 2432-1991
Babies' Dummies.
33. AS 2432
specifies safety requirements relating to the materials,
design, construction and performance of babies' dummies,
together with recommendations for their use and hygienic care,
all of which are important for the health and well-being of a
baby. The standard applies to all babies' dummies except those
intended for use by premature babies, or for therapeutic
application or the like, in which the usage is under medical
supervision or direction.
34. The small part test is considered the shield test in
Appendix C of AS
2432:1991, the shield dimensions are stipulated with the
template test or small part requirement (i.e. the shield must
not pass through the template opening).
35. Comment is sought on the consideration of other tests
incorporated in AS
2432:1991. For example, the ventilation holes requirement
specifies providing air passages through which a baby could
breathe if the dummy was accidentally `swallowed', but the
ventilation holes would also prevent the risk of the dummy
being sucked into the oral pharynx since negative pressure
would be generated. Also the requirement for the material to
be used which stipulates that the material shall not contain
any leachable constituent.
36. There are, however, other options that need to be
considered, including the American and Canadian mandatory
standards. Copies of the American and Canadian standards are
available for viewing:
Costs
37. Although dummies/pacifiers are currently mandated by
the Product Safety Standards (Children's Toys) Regulations
1992, a new regulation would impose an additional burden on
the Commerce Commission's resources that may need to be met
either with additional funding or with a reduction in
enforcement activity in some other area. These costs would be
borne by taxpayers generally, rather than the purchaser of the
product.
38. Additional burden would also be imposed on the New
Zealand Customs Service's resources that may need to be met
either with additional funding or with a reduction in
enforcement activity in some other area. These costs would
also be borne by taxpayers generally, rather than the
purchaser of the product.
Unsafe Goods Notice (Product Ban)
39. Section 31 of the Fair Trading Act 1986 gives the
Minister the power to declare goods to be unsafe goods by
notice in the Gazette. Such a notice stays in
force for a period of 18 months and has the effect of
prohibiting the supply of the goods to which it applies. The
Minister may use these powers "where it appears to the
Minister that goods of any description or any class or classes
of goods will or may cause injury to any person".
40. Unsafe goods notices are enforced by the Commerce
Commission and at the border by the New Zealand Customs
Service.
41. Unsafe goods notices are predominantly aimed at either
a specific brand or model of good or a specified unsafe
feature, (for example specific models of crossbow or any
pistol crossbow without a safety catch). If the unsafe feature
is generic to the entire class of that good, an unsafe goods
notice may be used as an interim measure while a product
safety standard is being prepared, (for example rubber hot
water bottles).
42. A ban on the supply of a product is a severe regulatory
option and would target the product unfairly. It is seen as a
measure of last resort and must satisfy the elements of
natural justice. Where this measure is adopted it must be
clearly established that the product itself is the primary
cause of injury and that any other mitigating circumstances
have only a minor impact.
43. A ban is not considered a viable option. It would also
not take account industry practices due to the current 1992
regulation for dummies/pacifiers.
Product Recalls
44. Section 32 of the Fair Trading Act 1986 gives the
Minister powers to require the recall of goods which, which
are of a kind which will or may cause injury. A product recall
is not considered a viable option. Mandatory recalls are
warranted on a case by case basis and are only used in extreme
cases.
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