FAS advocates banning chains from returning quality products to suppliers

The Federal Antimonopoly Service (FAS) of Russia has advocated a ban on the return of quality unsold products by retail chains to suppliers regardless of expiration dates. This was reported in the press service of the antimonopoly body on December 12.

"This will allow the conclusion of contracts to avoid situations where all risks and costs are assigned to suppliers, and retail chains do not pay for goods," - explained in the FAS.

It also noted that this issue was discussed within the framework of the meeting of the expert council on trade of the FAS of Russia. It is about the introduction of a ban on the inclusion in the supply contract of the condition of return of such goods regardless of their expiration date. At the same time, such regulation will not affect bona fide market participants who currently do not return quality unsold food products.

In addition, the issue of prohibiting the inclusion in a supply contract of a condition on the suppliers' liability for refusal to supply a volume of goods not provided for in the contract or not agreed upon by them was discussed. So far the bill has been adopted by the State Duma in the first reading. The Service clarified that they support such changes, since the issue could not be solved within the framework of self-regulation. Adoption of the relevant law will encourage retailers to move from framework supply contracts and one-off transactions at tenders to long-term contracts with delivery schedules. This will ensure transparency of contractual relations for suppliers, reduce their costs associated with fines, and reduce the risks of price fluctuations for seasonal goods, emphasized the FAS.

No surcharges: Russia may introduce state regulation of markups on socially important goods

Why the Ministry of Agriculture supported the deputies' proposal, while the Ministry of Industry and Trade, Ministry of Economic Development and Ministry of Finance criticized it

Earlier, December 11, it was reported that the Ministry of Agriculture supported the proposal of deputies to introduce state regulation of socially important products. The list of just over 20 items of such goods includes beef, poultry, butter, bread, etc. The parliamentarians proposed to allow regional authorities to limit wholesale and retail markups to 5 and 15% respectively. In their opinion, this approach will prevent situations in which retailers inflate the prices of goods, as well as support citizens.

December 4, the Federal Antimonopoly Service reported that it had sent information to retailers, according to which it is unacceptable to unreasonably raise prices during the pre-holiday days of high demand. At the same time, the FAS recommended stores to notify about the proposals to raise prices from suppliers, as well as the rise in the cost of logistics services.