Laos launches scheme to resolve online trade disputes

Laos has taken a major step towards protecting online buyers and sellers by launching a new system to resolve e-commerce disputes quickly and fairly.
The initiative, titled “Strengthening E-Commerce Dispute Settlement Processes in Laos”, was set in motion on May 13 with a ceremony led by the Director General of the Domestic Trade Department, Ministry of Industry and Commerce, Mr Santisouk Phounsavath.
The event was attended by senior government officials, representatives from the Australian Embassy in Laos, the Regional Trade for Development Facility (RT4D), online businesses and other stakeholders.

Mr Santisouk Phounsavath delivers a keynote speech at the meeting on Tuesday.

The goal is to develop an online system for receiving complaints and resolving disputes related to e-commerce.
The overriding aim is to ensure efficient resolution, increase consumer confidence, and support micro, small and medium-sized enterprises, particularly those led by women.
Expected outcomes include better access to information on online trade and related regulations, strengthened capacity among involved agencies, development of practical guidelines, and improved cooperation between the public and private sectors.
The initiative also hopes to boost participation and trust among business operators.
A key feature of the project is the introduction of the Online Dispute Resolution (ODR) system, which has been widely adopted in other countries.
This mechanism can lower the cost of dispute resolution and speed up complaint handling, helping to create a safer online trading environment.
The ODR model for Laos will draw on successful systems used internationally, such as those developed by the United Nations Commission on International Trade Law, Alibaba, and eBay.
Mr Santisouk said the project was an important step in building a strong online trade environment in Laos and would boost confidence among buyers and sellers.
He noted that e-commerce is growing rapidly and plays a vital role in economic development and poverty reduction.
In 2024, the value of global e-commerce reached US$6.33 trillion, an 89 percent increase on 2019, when a figure of US$3.35 trillion was recorded.
But the expansion of e-commerce also presents challenges, including fraud, fake goods and failure to deliver purchased items, Mr Santisouk said. These issues must be addressed urgently to protect buyers and sellers.
He said the government values the development of e-commerce and this project supports Laos’ national socio-economic development plans and the shift towards a digital economy.
Australian Embassy representative Mr Cameron Allan reaffirmed Australia’s support for Laos’ economic growth and expressed confidence that the project would bring real benefits to businesses and consumers.
The project is funded by RT4D under the ASEAN-Australia-New Zealand Free Trade Area partnership.
It will run until the end of August 2025 and includes activities such as forming a coordination committee, drafting terms of reference, developing an action plan, providing training in three regions of Laos, and conducting regular evaluations.

By Times Reporters
 (Latest Update May 14, 2025)