Page 21 - MOE ENGLISH PR REPORT - JUNE 2024

Press Release

businesses, increasing flexibility in economic and trade activities, and strengthening the UAE's
status as a leading global hub for commerce, business, and innovation.” H.E added.

The Ministry has emphasized the law’s crucial role in fostering a competitive trade and business
environment. It will drive the growth and improvement of the domestic trade system and enhance
the retail sector. The law will promote sound commercial practices and effectively combat the sale
of counterfeit, adulterated, and corrupt products. This, in turn, will attract major brands and
positively impact their economic performance. Additionally, it will encourage research,
development, and innovation, benefiting consumers and the UAE’s overall economy.

The MoEc highlighted the significant outputs of the new law, which encompassed:

• Creating a conducive and secure purchasing environment for purchases by effectively combating
counterfeit, fraudulent, and corrupt goods. The law applies to all types of commercial deceit across
the country’s markets, including free zones.

• Violations of the law result in the imposition of administrative penalties designed to encourage
greater compliance among businesses by deterring them from selling counterfeit, adulterated or
corrupt products within the country.

• Strengthening collaboration between the local and federal authorities and empowering local
authorities to address counterfeit and adulterated products, thereby promoting investments and
business activities in the country.

• Implementing regulations to eliminate counterfeit, adulterated, or corrupt products from markets
and warehouses. This includes reimbursing their value and ensuring that suppliers comply with
mandatory commercial records and requests for product release.

• Establishing the Supreme Committee for Combating Commercial Fraud to effectively implement
measures against commercial fraud across UAE markets by collaborating with federal and local
authorities.

• Prohibiting any involvement in the importation, exportation, production, manufacturing, display,
sale, storage, transportation, marketing, trading, promotion, disposal, or possession with the
intention to sell counterfeit, corrupt or adulterated products. Similarly, undertaking any of these
activities is forbidden. This aligns with the best international standards and reinforces the UAE's
reputation as a country with robust legislation against such practices. This comprehensive
approach aims to protect the interests of both businesses and consumers alike.

According to the law, commercial fraud involves deceiving a consumer through various means.
This deception can involve altering or modifying elements such as the nature, quantity, type, price,
essential characteristics, origin, source, validity, or providing inaccurate or misleading commercial
information about the promoted products, ultimately misleading the customer.

The MoEc's Efforts to Combat Commercial Fraud within the Country