Recent Regulations on Advertisements

Overview

Prakas 095 on Unfair Practices in Business Related to Advertisements and Sale Promotions was issued on 12 April 2024 by the Ministry of Commerce (“Prakas 095”). Prakas 095 covers unfair practices in business related to advertisement and sale promotions that are not addressed by the Law on Consumer Protection, with the objective of protecting consumers’ rights and interests.

Prakas 095 applies to all persons (including individuals and entities) engaged in supplying and advertising goods and services that provides false or misleading promises, advertisements or representation via all forms and methods, including digital methods, within the Kingdom of Cambodia. The main prohibitions outlined by Prakas 095 encompass three areas: (1) prize giveaways; (2) advertisements and sale promotions; and (3) false or misleading advertisements.

We summarize the key prohibitions as follows:

Certain Prohibited Unfair Practices

Prize giveaways

not giving away prizes, insufficient prizes as planned and inequivalent value of the prizes as planned, except where there is acceptable evidence; and
providing fake, false or deceptive documents or information related to the identity of the prize winner and not providing any other relevant documents as required by the investigating officer of the Consumer Protection Competition and Fraud Repression Directorate-General (“CCF”).

Business operators who will conduct advertisements attached with prizes must submit the prize giveaway plan and documents and information related to the identity of prize winners in a timely manner as required by the investigating officer of the CCF.

Advertisement and sale promotions

having minor to offer prizes and advertisement related to alcoholic, energy drinks or any other practices prohibited by other relevant regulations;
using labels, all kinds of advertising signs that do not have Khmer letters, or Khmer fonts are not above foreign fonts or are not twice as large as foreign fonts;
advertising goods and services that are prohibited to commercialize and/or to advertise; and
advertising goods and services without displaying the minimum information as required by applicable regulations.

False or misleading advertisements

encouraging minors to think, act, speak or act contrary to the tradition and morality, adversely affect the health, safety or natural development of minors;
using words or phrases such as the best, only one, number one, superior, unmatchable, or words with similar meanings without proper documentation certified by the relevant ministries, institutions and authorities;
using words or phrases such as pop to win, scratch to win, buy to win, open to win, pop more win more, scratch more win more, buy more win more, or using words or phrases that have similar meanings without specifying to the consumer the types of goods and services to be provided;
using words, writings or pictures that are false, misleading or distorting the truth, obscene, obscene words;
using articles or spot advertisement that are not in accordance with a compliance certificate issued by the MOC;
hiring or order any persons to falsely promote that they have received a prize or other benefits from any goods or services; and
comparing own’s goods and services with the goods and services of others with the intent to downgrade or harm the others’ products and services.

Prakas 095 also stipulates the necessary requirements that business operators must adhere to when conducting sale, clearance sale, special discount, goods and services bundled with additional services exceeding the requirements (as a package), and lucky draw.

Any individual who commits an offence in violation of the provisions under Prakas 095 relating to, among others, reporting to the CCF, prize giveaways, advertisement and sale promotions will be subject to an interim fine not exceeding KHR 50,000,000 (approximately USD 12,500) or, for violation of provisions relating to false or misleading advertisements, not exceeding KHR 80,000,000 (approximately USD 20,000).

PRAKAS 084 ON FORMALITIES, PROCEDURES AND MEASURES TO MANAGE ADVERTISEMENT OF ALCOHOLIC PRODUCTS

Overview

The Ministry of Information (“MOI”) issues Prakas 084 on Formalities, Procedures and Measures to Manage Advertisements of Alcoholic Products on 23 July 2024, to regulate advertisements of alcoholic products (“Prakas 084”). The scope of Prakas 084 applies to all alcoholic products containing more than 3% ethanol content and covers all forms and means of advertisement, including digital advertising in Cambodia.

Key Provisions under Prakas 084

1. Permit Requirement

All individuals and entities intending to advertise alcoholic products must apply for a permit from the Alcoholic Products Advertisement Management Working Group (“Working Group”). Applications can be submitted online or offline through the one-window service of Secretariat of the Working Group located at the MOI. The Secretariat of the Working Group has seven working days upon receipt of application documents to review the application. If the application documents are sufficient, the Secretariat of the Working Group will issue a permit in digital form.

It is important to note that, in addition to the above permit, business operators may request a compliance certificate from the Ministry of Commerce (on a voluntary basis) to confirm that the advertisement complies with applicable laws.

2. Key Advertisement Principles

There are certain key principles for advertisements of alcoholic products:

Content Restrictions:
1. displaying required warning messages (i.e., ‘drink do not drive’ or ‘drink responsibly’) clearly and visibly in a font size 1/4 of the advertisement size and avoiding the use of characters, logos, or themes for the purpose of attracting minors;
2. alcohol advertising must not depict alcohol consumption before or while driving, claim health benefits for pregnant or breastfeeding women, or make general health claims; and
3. respect for religious beliefs, cultural values, and women’s health and well-being is required.
4. prohibiting the use of exaggerated descriptions, linking alcohol consumption to sexual performance or attractiveness, depicting alcohol consumption in advertisement, encouraging alcohol consumption on stage, targeting minors, or using minors as advertisers;
Time Restrictions: No alcohol advertising on television and radio between 6 PM and 8 PM except for simple display of logo or product name.
Location Restrictions: No alcohol advertising within 200 meters of educational, health, religious, cultural and historical institutions, and international airports.
Online Advertising: Alcohol advertisements on electronic platforms must include a warning message prohibiting minors from viewing them.

3. Compliance and Enforcement

Individuals and entities that have advertised or are currently advertising alcoholic products must obtain a permit from the Secretariat of the Working Group within three months of the issue date of Prakas 084, being 23 October 2024. Media outlets are required to broadcast only advertisements of alcohol products authorized by the Working Group. Non-compliance with Prakas 084 will result in legal action under the applicable laws and regulations.

Considering the above, businesses involved in alcoholic products advertising must carefully review Prakas 084 to ensure compliance. Key actions include obtaining permits on advertising, adhering to strict content principles to avoid penalties, and reviewing existing advertising materials to ensure compliance.

Should you have any concerns or queries on the matters mentioned above, please feel free to contact us at cambodia@dfdl.com.

The information provided here is for information purposes only and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.