04/02/2011 07:09
All those who sell bread, milk and water at prices higher than those set by the Commerce Ministry might end to prison. The bill, which was approved by the Council of Ministers on Friday, gives superpowers to the Ministry to set the prices on basic goods and to carry out investigations and inspections to businesses.
The bills, which has aroused strong feelings to OEB and CCCI, allows the Ministry to issue a decree for a period of up to 45 days for a ceiling in the sale price of the goods covered by the law.
“It has the power to do so if the prices are much higher than justified by the international and domestic conditions”, he said.
One of the provisions of the bill is the one that allows the issue of a decree not only when prices are higher but also when “the prevailing conditions in the market are exceptionally difficult and the restraining of the prices in the basic consumer goods is deemed necessary for the protection of the investors, especially when the margin of profit of the traders is exceptionally high”.
According to the bill, the Minister appoints certain officials who are authorized to conduct a research on the market conditions. He is entitled to determine the maximum wholesale and retail trade prices in a list of goods, including bakery products.
“Any person who does not adopt the determined prices or impedes the authorized officers to carry out investigations or inspections, is guilty for a penal offence”, it stressed.
In addition, the Minister has the right to examine any violations of the provisions of the law upon request and to impose an administrative fine that will not exceed €200 thousand, considering the nature, the gravity and the duration of the violation.
The Ministry has submitted the bill to the European Commission. “The Ministry has replied to the one and only observation submitted by the European Commission. It is noted that the European Commission and the rest member states were implicit and did not make any further comments within the deadline”.
According to the accompanying report, the trade unions and the consumers’ organizations favour the bill, while OEB and CCCI are against it. They support that the CPC must be the one to intervene in undue behaviours.
The Ministry expects that it will be backed by the House Commerce Committee, since it has expressed is support to the Ministry’s intentions from time to time.
The bills, which has aroused strong feelings to OEB and CCCI, allows the Ministry to issue a decree for a period of up to 45 days for a ceiling in the sale price of the goods covered by the law.
“It has the power to do so if the prices are much higher than justified by the international and domestic conditions”, he said.
One of the provisions of the bill is the one that allows the issue of a decree not only when prices are higher but also when “the prevailing conditions in the market are exceptionally difficult and the restraining of the prices in the basic consumer goods is deemed necessary for the protection of the investors, especially when the margin of profit of the traders is exceptionally high”.
According to the bill, the Minister appoints certain officials who are authorized to conduct a research on the market conditions. He is entitled to determine the maximum wholesale and retail trade prices in a list of goods, including bakery products.
“Any person who does not adopt the determined prices or impedes the authorized officers to carry out investigations or inspections, is guilty for a penal offence”, it stressed.
In addition, the Minister has the right to examine any violations of the provisions of the law upon request and to impose an administrative fine that will not exceed €200 thousand, considering the nature, the gravity and the duration of the violation.
The Ministry has submitted the bill to the European Commission. “The Ministry has replied to the one and only observation submitted by the European Commission. It is noted that the European Commission and the rest member states were implicit and did not make any further comments within the deadline”.
According to the accompanying report, the trade unions and the consumers’ organizations favour the bill, while OEB and CCCI are against it. They support that the CPC must be the one to intervene in undue behaviours.
The Ministry expects that it will be backed by the House Commerce Committee, since it has expressed is support to the Ministry’s intentions from time to time.
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