Running an online store means more than good photos and fast shipping. Every product you list has to be safe to sell in Australia. The rules apply to small shops as much as large retailers. Getting them wrong can lead to fines, recalls and lost customer trust.
This guide covers the main product safety duties for online sellers. It draws on guidance from the ACCC, which runs the national product safety system. The aim is to give store owners a plain overview before they add new stock. Treat it as a starting point rather than the full picture.
Who the product safety rules apply to
Australian product safety laws apply at every stage of the supply chain. The ACCC says all online businesses must follow Australian product safety laws, from makers through to retailers. Under the Australian Consumer Law, supply covers sale, exchange, lease, hire and hire purchase of goods. So a small store that resells imported stock carries real obligations too.
The ACCC sums up the core duties in four parts. Sellers must comply with mandatory safety standards and must not supply banned products. They must report deaths or serious injuries linked to products they supplied. They must also recall products that are unsafe, banned or fail a mandatory standard.
Mandatory safety standards
A mandatory standard sets compulsory requirements for certain products sold in Australia. It is an offence to supply goods that do not meet one. Standards are only made when evidence shows a high risk of serious injury, serious illness or death. That means many everyday products have no mandatory standard at all.
Standards can cover design, construction, performance, finish, packaging and labelling. Most aim to protect babies and children, who often cannot recognise hazards. There are also information standards, such as ingredient labelling for cosmetics and care labels for clothing. These help shoppers make a choice and are not always about safety.
Before adding a new product range, check the ACCC’s searchable list of mandatory standards. Ask your supplier for evidence that the product meets the relevant standard. If they cannot provide it, think hard before listing the item. The legal risk sits with you as the seller as well as with the factory.
Banned products
Some products are banned because they pose a risk of serious injury, serious illness or death. Once a product is banned, it must not be supplied in Australia. It is also against the law to offer to supply it. So a banned item should not sit on your store as a live listing.
Bans come in two forms. Interim bans last 60 days and can be extended for up to 60 more days. Permanent bans are declared by the Commonwealth Minister. State and territory ministers can also impose interim bans that apply only within their own state or territory.
That last point matters for online sellers who ship around the country. A product could be on sale freely in one state while it sits under an interim ban in another. Checking the national banned products list is a good habit. Keep an eye on state notices too if you sell in a category that often draws attention.
What to show in your product listings
Online shoppers cannot pick up a product and read the box. The ACCC asks online shops to give safety information in appropriate languages. That includes warnings, labels and age grading on children’s products. It also covers clear product descriptions, good quality images and ingredient lists.
Cosmetics and toiletries need extra care. The ACCC says suppliers need to make the ingredients list available to shoppers before they pay. Clear contact details on your store also help customers raise a safety concern. Detailed, accurate listings help your search visibility as well, which ties in with the importance of SEO for web design.
Sourcing products you can trust
Many online stores import stock or buy through wholesalers. The ACCC advises sourcing from manufacturers and suppliers who follow Australian product safety rules. It also asks online shops to block products that do not comply from sale in Australia. If you sell through dropshipping, your store is still part of the supply chain.
A simple supplier check can save trouble later. Ask for test reports and compliance documents for any product covered by a standard. Keep copies on file with your product records. Review them when a supplier changes a factory or a product design.
When a product turns out to be unsafe
Problems can surface after a product has been on sale for months. The ACCC’s first instruction is simple: stop selling the product straight away. Then tell affected customers about the safety concern. You may also need to run a formal recall.
If you take recall action, you must notify the ACCC within 2 days. The same short timeframe applies when a safety incident has occurred. Have a plan ready so you can act fast. Using the digital marketing channels you already run can help a recall notice reach past buyers.
Mandatory reporting of deaths and serious injuries
Everyone in the supply chain must report a death, serious injury or serious illness linked to a consumer product they supplied. The mandatory reporting rules give you 2 days from becoming aware of the incident. If you are unsure whether a report is needed, the ACCC says to submit one anyway. Reports are made through an online form on the ACCC portal.
Mandatory reports are confidential and are not an admission of liability. You can complete a report to the best of your knowledge and add details later. Failing to report when required can lead to a criminal conviction or a pecuniary penalty. The ACCC also welcomes voluntary reports about incidents that could have caused serious harm but did not.
Building product safety into your store routine
Product safety works best as a routine rather than a one off task. Subscribe to ACCC product safety updates so you hear about new standards and bans. Check new stock against standards and bans before it goes live. Record who checked it and when.
Store moves and system changes are a risky time for records. If you are moving a business, keep supplier documents and sales records together. They make it far easier to find which customers bought a product if a recall comes. Tracking store activity through clear website performance measures can also show you listings with missing safety details.
Frequently asked questions
Do product safety rules apply to small online stores?
Yes. The ACCC says all online businesses at every stage of the supply chain must follow Australian product safety laws. Size does not change the core duties.
Does every product need to meet a mandatory standard?
No. Mandatory standards only exist where evidence shows a high risk of serious injury, serious illness or death. Check the ACCC’s list to see whether your products are covered.
How quickly do I need to report a serious injury?
You have 2 days from becoming aware of it. If you are unsure whether the incident counts, the ACCC advises submitting a report anyway. Reports are confidential.
Can a state ban a product?
State and territory ministers can impose interim bans. These apply only within their own state or territory. Permanent bans are made by the Commonwealth Minister.
This article is general information about Australian product safety rules and is not legal advice. Laws and processes can differ between states and territories and they change over time. Speak with a qualified lawyer about your own situation.