MALAYSIA – State police in Malacca have caught two companies trying to cash in on the Malaysian state’s biodegradable packaging regulation by selling biodegradable food containers with misleading labels.
According to State Ministry of Domestic Trade, Cooperatives and Consumerism enforcement chief Jamil Buang, two supermarkets were raided in late January 2016, following tip-offs from dissatisfied suppliers.
"We raided a supermarket (Cowboy) in Cheng where we seized 11,100 units of biodegradable food packaging consisting of plates, cups, and bowls,” said Jamil.
"The supermarket's manager was also detained for questioning but was later released."
Investigations revealed the supermarket had obtained supplies of biodegradable food packaging from a company, but the items were repackaged and labelled under the name of another company: "This means that the supermarket's management have committed an offence under Section 5(1)(b) of the Trade Description Act 2011 for supplying goods with false trade description."
Another supermarket (Angee) in Plaza Pandan Malim was also raided, where 4,850 units of biodegradable food packaging were confiscated… For the full story, subscribe to Packaging Business Insight Asia here.