Parallel Importing and its Shades of Grey

Section 8 of the Regulations (No. 34180 in the Government Gazette of 1 April 2011) to the Consumer Protection Act further states as follows:

“Disclosure of reconditioned or grey market goods

(2) The supplier must when selling the goods to the consumer – 

• expressly draw his or her attention to the notice prescribed in subregulation (1);

• in plain language explain the meaning of the notice to the consumer; and

• the notice contemplated in section 25(2) of the Act and meeting the requirements of section 22 of the Act must be applied –

  • in a place on the goods and the marketing material of the goods where a consumer is likely to see that notice; and
  • in an easily legible size and manner;

to the goods and all forms of advertising or promotion, including in-store promotions, packaging, websites and brochures, when these goods are advertised or promoted, stating clearly, if the goods bear a trade mark, that they have been imported without the approval or license of the registered owner of that trade mark and that no guarantee or warranty in respect of such goods will be honoured or fulfilled by any official or licensed importer of such goods.”

Grey importing undermines local businesses and the economy by bypassing authorized dealers and official channels. This not only affects the job market but also leaves consumers unprotected as grey imports usually do not come with official warrantees or after-sales service.

Additionally, it may lead to an increase in counterfeit products, eroding consumer trust and brand reputation.

Grey importing is a short-sighted approach that brings more harm than good to the overall economy and consumers.