Mr Santisouk Phounsavath (centre), Ms Sianong Phomkong (right), Mr Cameron Allan (left), chaired the closing ceremony of the e-commerce dispute settlement project in Vientiane.

Laos moves forward with resolution of e-commerce disputes

Laos is stepping up efforts to strengthen the settlement of disputes that arise in e-commerce, through the introduction of an online system designed to protect consumers and build trust in the fast-growing digital marketplace.
The goal of this project 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 and people with disability.
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.
Supported by the Regional Trade for Development (RT4D) Facility, the initiative responds to rising consumer complaints linked to online trade, including fraud, identity theft, and goods that fail to match their description.

Mr Santisouk Phounsavath.

The closing meeting to discuss the progress made to date took place in Vientiane on Tuesday.
Speaking at the meeting, Director General of the Internal Trade Department, Ministry of Industry and Commerce, Mr Santisouk Phounesavath, said e-commerce is an important driver of economic growth, giving businesses access to larger markets while providing consumers with convenience, lower costs and greater choice. But as the market grows, so too do the risks.
“Complaints are increasing, but existing mechanisms remain slow or limited in scope. The new system will provide more effective ways to resolve disputes and protect consumer rights,” he said.
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.
The meeting was co-chaired by Mr Santisouk Phounesavath, RT4D Regional Manager, Ms Sianong Phomkong, and a representative from the Australian Embassy in Laos, Mr Cameron Allan.
Representatives from government agencies, private business, development partners and civil society took part, reviewing the project’s progress and mapping out the next steps.
At the heart of the initiative is an Online Dispute Resolution (ODR) system, a model already in use in many countries. This mechanism reduces costs, speeds up complaint handling, and creates a safer environment for both buyers and sellers.
The ODR system for Laos will be based on successful international examples, including those developed by the United Nations Commission on International Trade Law, Alibaba and eBay.
The government’s strategy to develop the ODR system rests on four pillars: digital platform development, legal and regulatory reform, organisational strengthening, and consumer empowerment.
A single-entry platform will be established by upgrading the Ministry of Industry and Commerce’s E-Trust Register into a combined Trustmark and ODR system.
This will allow consumers to check whether traders are verified and submit complaints through one channel.
The plan will be rolled out in phases, starting with a Trustmark system in 2027, a basic ODR in 2028-2029, and a full ODR launch in 2030.
During the four-month project, RT4D experts and the Internal Trade Department worked closely with ministries, provincial commerce offices, the private sector and civil society.
The project delivered several key outputs, including a Lao translation of the Regional Comprehensive Economic Partnership chapter 12 on e-commerce, a guideline and roadmap for e-commerce dispute resolution mechanism, free online access to e-commerce dispute resolution processes via the ministry’s website, and consultations in Vientiane, Luang Prabang and Pakse that gathered views from government agencies, businesses, women entrepreneurs and disability groups.
A dedicated committee has also been formed to oversee the long-term development of the dispute resolution mechanism.
Ms Phomkong said the project’s success was the result of strong cooperation between the Ministry of Industry and Commerce, development partners, and the Lao community.
An effective e-commerce dispute mechanism, she said, will build trust, protect consumers, and give businesses confidence in the digital economy.
Mr Allan added that Australia is committed to supporting Laos in strengthening trade-related frameworks and ensuring that the benefits of digital growth are widely shared.
Looking forward, the Internal Trade Department plans to build an online reporting and settlement platform to speed up dispute handling, cut costs and boost transparency.
Capacity building for officials and awareness-raising for consumers and small businesses will also be prioritised.

By Phonepaseuth Volakhoun
(Latest Update August 21, 2025)