w w w . s c e m a g a z i n e . c o m - Supply Chain Europe

last word
Making your Mark
Particularly in the current economic climate, the push to meet consumer demand for value-for-money
goods is having a ripple effect throughout the supply chain. This is especially so for those businesses
involved in supplying high-street retailers. The “pile it high and sell it cheap” mentality means that retailers
are increasingly cutting out the ‘middle man’ in the supply chain to source their own-brand products
directly from manufacturers in countries with lower production costs. This change in the traditional supply
chain is creating a financial headache for the businesses involved, and could result in damage to their
reputation on the high street and increased costs to their business in the long-term.
Falling Foul
There is a widespread assumption that CE marking stamped on a
product by the manufacturer is proof of its safety. Retailers, or indeed
other businesses in the supply chain, that buy ‘own brand’ direct from
non-EU manufacturers run the risk of falling foul of this misunderstanding.
What many don’t realize is that cutting out parts of the traditional supply
chain changes their responsibilities under EU law. As retailers import
more products from abroad, they must realize that it is they, and not the
manufacturer, that is responsible for ensuring product compliance under
CE marking regulations. The danger is the assumption that CE marking
stamped on an own-brand product by the manufacturer is proof of its
safety and, as a result, unsafe goods make it onto the shelves. This of
course raises the spectre of prosecution, as in the eyes of the law there
is no excuse for misunderstanding where the legal responsibility lies for
ensuring proof of compliance.
Incompetence Breeds Danger
What companies do not understand is that CE marking is simply a
manufacturer’s or an importer’s declaration that its product complies with
EU directives. Less scrupulous manufacturers may not bother to test
products, simply affixing the CE marking and signing the declaration of
conformity. Owing to language issues, other manufacturers that mean
well are misunderstanding the requirements of a complex set of directives
— giving products that fail to meet these requirements a CE marking.
Incompetence could therefore breed a dangerous situation for both the
consumer who ultimately buys the unsafe goods and for the business
that is prosecuted for failing to comply
This isn’t an issue for ‘known brands.’ The manufacturers of such goods
generally have commercial premises representing them in the EU and
import their products directly into EU markets, meaning that they assume
legal responsibility for complying with CE marking legislation. However, for
retailers that sell cheaper goods on the high street and are experiencing a
boom, even in these tough financial times, importing directly may lead to
bust. It is bad news for those companies that source directly from abroad
and fail to invest in their own tests of goods to prove conformity with the CE
marking directives and stay on the right side of the law.
CE marking replaced the old system of individual country requirements
to enable the free movement of goods across the EU. It now simply
provides a common set of standards to bring down barriers to entry
between EU member states; those in the supply chain must remember
that it is not proof of product safety. Another problem is that the
surveillance of CE marking is left to each country and there is a great
diversity in the level of funding and the approach each country takes.
For example, UK Trading Standards tend to take a reactive approach
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Jean Louis-Evans
to investigating complaints, whereas French and German authorities
systematically take products off the shelves to test against the CE
marking directives. So, while there is a standard European CE marking,
there is still no single European consumer safety mark. This necessitates
those in the supply chain, who don’t wish to rely on the CE marking,
to do their own supplementary safety testing. This means that ‘safe’
products sold in Europe should carry both a CE and another safety mark
such as the TÜV certification, German GS mark or French NF mark. In
countries such as Germany or France, this actually helps retailers to sell
goods as consumers look out for the mark.
Further Frustrations
However, this variety of safety marks bestowed by certified bodies is
frustrating the European Commission, which is pushing to introduce
a single, EU-wide consumer safety mark. On the surface, this makes
perfect sense, but the concern is that the EU currently appears to be
considering a ‘watered down’ safety mark that, like CE marking, allows
manufacturers to self-declare conformity. This will make quality marks
no more valuable than CE marking. It will ultimately lead to a situation
of Caveat Emptor or “buyer beware,” create another headache for the
supply chain and potentially life-threatening confusion for consumers. •
For more information
Jean Louis-Evans is Managing Director of TÜV Product Service, one of the world’s leading
experts on product testing, with 170,000 product certifications in circulation globally and
13,000 employees worldwide.
Octagon House, Concorde Way
Segensworth North
Fareham, Hampshire PO15 5RL, UK.
Tel. +44 1489 558 100
info@tuvps.co.uk
www.tuvps.co.uk
www.scemagazine.com May/June 2009