16. 8. 74 Official  Journal  of the European  Communities No C 97/47 
Chapter  VJ 
After  the  reference  to Article  4, it is proposed  to insert  the  following  text: 
'Article  4 (1) (a) 
The Section  feels  that  the amendment  of the  Council  Directive  of 20 July  contained  in this 
Article  is superfluous'. 
Article  3 (J)  (a)  is compatible  with  the  OECD  agreement  on  credits  for  shipbuilding.  The 
proposed  Article  4 (1) (a) introduces  a new  distortion  of competition  to the  disadvantage  of 
certain  Member  States  including  Denmark,  owing  to the  arbitrary  boundaries  and  calculation 
methods  of the  proposed  system.  The  proposed  calculation  method  is illogical  and  unnecessary 
in view  of the  rules  which  have  been  agreed  to in OECD  and  which  apply  ro our'  competitors, 
including  Japan  and  the  major  Western  European  shipbuilding  nations,  Sweden  and  Spain. 
Outcome  of the voting: 
Vores  in favour:  7. 
Votes  against:  63. 
Abstentions:  20. 
on a preliminary  Community  programme  for consumer  information  and  protection 
On 21 December  1973,  the Council  decided  to exercise  its option  of consulting  the 
Economic  and  Social  Committee  on the above  programme. 
The request  for an Opinion  was  sent  by the President  of the Council  to the Chairman 
of the Economic  and  Social  Committee  on 21 December  1973. 
B. TEXT  WHICH  WAS  THE  SUBJECT  OF  THE  CONSULTATION 
The text  which  was  the  subject  of the  consultation  has  not  been  published  in the 
Official  Journal  of the European  Communities. 
C. OPINION  OF THE  ECONOMIC  AND  SOCIAL  COMMITTEE 
At its 119th  plenary  session  held  in Brussels  on 27 and  28 March  1974,  the Committee 
adopted  its Opinion  on the text  referred  to under  B by a majority  witih  two  dissenting 
votes  and  two  abstensions  out of all members  present  or represented. 
The text  of the Opinion  is as follows: Reasons: 
CONSULTATION  OF THE  ECONOMIC  AND  SOCIAL  COMMITTEE 
A. REQUEST  FOR  AN  OPINION 
THE  ECONOMIC  AND  SOCIAL  COMMITTEE, Having  regard  to the  decision  taken  by  the 
Chairman  of the  Economic  and  Social  Committee 
on 7 January  1974  and  confirmed  by the Bureau  of 
the Committee  on 29 January  1974  in accordance 
with  Article  22 of the Rules  of Procedure,  entrusting 
the Section  with  the preparation  of an Opinion  on 
the matter; Having  regard  to the request  for an Opinion  made 
by the  Council  of the  European  Communities  on 
21 December  1973; 
No C 97/48 Official  Journal  of the  European  Communities 16. 8. 74 
Having  regard  to the  Opinion  delivered  by  the 
Section  for  the  Protection  of  the  Environment, 
Public  Health  and  Consumer  Affairs  at its meeting 
on 21 March  1974; 
Having  regard  to the  verbal  report  presented  by 
Miss  Roberts,  rapporteur; 
Having  regard  to  the  discussions  at its  119th 
plenary  session  on 27 and  28 March  1974; 
Whereas  a programme  is needed,  covering  both  the 
strengthening  of measures  relating  to the  protection 
of the  consumer  and  the  coordination  of measures 
being  taken  for the consumer; 
Whereas  it is essential  that  consumers  should  enjoy 
equal  rights  of  consultation  on  European 
Community  decisions  which  concern  them, 
HAS  ADOPTED  THE  FOLLOWING  OPINION: 
I. GENERAL  COMMENTS 
1. The  Committee  congratulates  the  Commission 
on having  produced  a Preliminary  Community 
Programme  for  Consumer  Information  and 
Protection  within  some  six  months  of  having 
established  a Division  with  responsibility  for 
consumer  affairs.  The  Committee  welcomes  the 
Programme  and  while  agreeing  in broad  terms  with 
the contents,  wishes  to  make  the  following 
comments. 
2. The  document  would  perhaps  have  been  more 
effective  if everything  relating  to a particular  main 
subject  were  dealt  with  in consecutive  paragraphs.  At 
present,  for  example,  paragraphs  20,  39—40,  and 
82 —83  all separately  deal  with  'Prices'.  Similarly  the 
general  and  historical  survey,  which  although 
valuable  is not  part  of the  programme  as such, 
could  with  advantage  have  been  presented  as an 
appendix. 
3. The  Committee  believes  that  it is of major 
importance  that  consumers  should  be  accorded 
equality  of consultation  with  other  interests  when 
decisions  concerning  them  are  made  within  the 
European  Communities,  for  example  on  anything 
affecting  prices.  The  Programme  should  recognize 
the need  for  the  European  Communities,  in the 
interests  of consumers  at least  equally  with  those  of 
other  sections  of society,  to re-examine  the  basic 
assumption  that  continued  increase  in production 
and consumption  is appropriate  and  desirable.  Such 
a re-examination  is another  instance  where  full 
involvement  of consumer  representatives  should  be 
accepted  as a matter  of course.  It is the Committee's 
belief,  also,  that  the  European  Communities  should involve  consumers  in planning  medium-term  and 
long-term  economic  development. 
II. SPECIFIC  COMMENTS 
4. The  Committee  notes  that  the  Programme 
states  that  the  consumer  has  three  basic  and 
fundamental  rights: 
— the  right  to health  and  safety  and  to redress 
(consumer  protection  and  assistance); 
— the  right  to  be  adequately  informed  and 
instructed  (consumer  information  and 
education); 
— the  right  to be heard  (consumer  representation). 
The Committee  agrees  with  this  statement,  subject 
to development  as indicated  above  of the  third 
'right'  so as to ensure  that  the  consumer  is heard 
equally,  at least,  with  those  in other  sectors  of 
society. 
5. The  Committee  notes  also  that  the  Programme 
in paragraph  26 includes  among  its objectives  the 
securing  of: 
— better  protection  against  health  and  safety  risks; 
— a fair  deal  in the  provision  of  goods  and 
services; 
— improved  information  about  goods  and  services  „ 
so as to enable  consumers  to obtain  what  they 
need  at the best  prices; 
— more  consultation  about  and  involvement  in 
consideration  of Community  measures  affecting 
consumers. 
The Committee  endorses  these  statements. 
6. Quality 
The Committee  considers,  however,  that  the 
promotion  of  acceptable  quality  in  goods  and 
services  at various  prices  should  be included  in the 
Programme.  So long  as health  and  safety  are  not 
jeopardized,  goods  and  services  of  satisfactory 
quality  at a range  of prices  should  always  be 
available. 
7. Waste 
The Committee  also  considers  that  the  Programme 
should  include  the  avoidance  of waste,  both  by 
discouraging  unnecessary  packaging  and  by 
encouraging  standards  of quality  which  lead  to 
reasonable  durability  of  goods  and  the  use  of 
materials  which  can  be recycled. 
16. 8. 74 Official  Journal  of the  European  Communities No C 97/49 
8. Prices 
While  the  Committee  believes  that  the  acceptance 
of the  two  additional  objectives  just  outlined 
will greatly  strengthen  the  Programme,  a much 
more  significant  statement  is  needed  on  the 
subject  of prices.  In the  view  of the  Committee  it is 
of fundamental  importance  and  of  the  greatest 
possible  urgency  that  the  European  Communities 
collectively  and  the  Member  States  individually 
should  do  whatever  can  be  done  to master  the 
general  and  continuing  rise  in prices.  This  should  be 
the first  and  most  vital  objective  of any  consumer 
policy. 
9. To  this  end  the  objectives  listed  in paragraph 
82 should  be  supplemented  by  an  active 
determination  to investigate  the  reasons  for  price 
increases,  both  generally  and  in specific  sectors,  as a 
basis  for future  action. 
10. These  investigations  should  include  efforts  to 
prove  or disprove  the  validity  of existing  beliefs 
concerning  the effect  on prices  of the following: 
— the  effects  of  mergers,  including  possible 
economies  of scale; 
— the  cost  of services,  whether  provided  by  the 
public  or the private  sector; 
— the  relationship  between  the  cost  of agricultural 
products  and  food  prices; 
— monopolies  and  state  intervention  in industry; 
— innovations  in design  or packaging  which  are 
not justifiable  as genuine  improvements. 
It is most  important  to  ensure  that  facts  are 
obtained  on  the  above  subjects,  as without  them 
widely  held  suspicions  and  anxieties  can  neither  be 
justified  nor dispelled. 
11. Consumer  Education 
While  welcoming  the  proposals  in paragraphs  84 
and 85,  the  Committee  believes  that  there  is not 
enough  emphasis  in the  Programme  on consumer 
education  in  schools.  It  should  be  explicitly 
recognized  that  people  will  . benefit  fully  from 
consumer  information  and  protection  only  if they 
have  been  provided  with  adequate  groundwork, 
beginning  at school;  that  would  enable  consumers  to 
protect  themselves  because  they  have  had  the 
requisite  education. 12. Consumers'  Consultative  Committee 
Although  it deplores  the  fact  that  it was  not 
consulted  when  the  Consumers'  Consultative 
Committee  was  set  up,  the  Economic  and  Social 
Committee  believes  that  the  Committee  in question 
has a valuable  part  to play  in initiating  action  on 
consumer  affairs  and  in working  closely  with  the 
Commission. 
13. Timetable  for  Legislation 
The Committee  would  welcome  the publication  of a 
realistic  timetable  for  implementation  of  the 
Preliminary  Programme,  including  consultations 
with  all interested  parties.  The  Committee  considers 
that this  timetable  should  include  proposals  for 
eventual  legislation  concerning: 
— labelling; 
— misleading  advertising; 
— unfair  commercial  practices; 
— compensation,  with  special  reference  to 'small 
claims'; 
— all forms  of consumer  credit; 
— consumer  representation; 
— consumer  information. 
14. The  Committee  considers  that  the 
Commission  should  also  consult  the Governments  of 
Member  States  when  necessary  so as to ensure  as far 
as possible  that  legislation  on consumer  matters  is 
effective  and  enforced.  Legislation  which  can  safely 
be ignored  provides  illusory  protection  for 
consumers  and  is detrimental  to the  interests  of 
those  undertakings  who  abide  by it. 
III. CONCLUDING  OBSERVATIONS 
15. While  supporting  the Commission's  proposals, 
the Committee  believes  that  it is important  to 
distinguish  between  action  which  can  best  be 
undertaken  at Community  level,  and  action  which 
most  effectively  meets  the needs  of consumers  if it is 
introduced  at a national  level. 
16. The  philosophy  underlying  the  Programme  is 
that the  relationship  between  consumers,  producers 
and distributors  is a conflict,  in which  rights  must 
be established  —  mainly  by  legislation.  While 
accepting  that  this  may  be the  situation  at present, 
the Committee  hopes  that  the  Commission  will 
encourage  steps  taken  voluntarily  by producers  and 
No C 97/50 Official  Journal  of the  European  Communities 16. 8. 74 
distributors  for the benefit  of consumers,  envisaging 
an eventual  state  of cooperation  rather  than 
confrontation. 
17. The  important  consideration  is that  the 
Preliminary  Community  Programme  for  Consumer 
Information  and  Protection  should  be developed  and 
strengthened  by consultation  and  experience,  and 
that a steady  advance  should  now  commence 
towards  the  application,  by  the  producer,  the consumer  and  the  distributor,  of the  principles  it 
contains,  which  the Section  believes  are essential  to 
the well-being  of the whole  community. 
Done  at Brussels,  28 March  1974. 
The Chairman 
of the Economic  and  Social  Committee 
Alfons  LAPPAS