“Small producers have access to only half of the retail market. Rather than adopting interventionist measures, we must make the market functional. The intervention of the state is rather nocuous,” said Chiritoiu at the conference Mediafax Talks about Competition.
He reiterated that the law on the sale of food products did not have positive effects on the market, and added the normative act must be amended after a close examination of its impact.
Chiritoiu said in March Romania should amend the law on the sale of food products, as it has had negative effects. He pointed out that he was skeptical regarding the implementation of the code of good practice in the food product trade, adding that the code has produced negative consequences on the market.
“This is what happens when you overregulate a market,” Chiritoiu highlighted back then.
The local retail market is competitive, which is proved by prices, which are lower compared to those in other European markets, as well as by inflation in the sector, which is below the country’s inflation rate.
“Research conducted two years ago showed the retail market is competitive. There are many players and modern retail witnessed a gradual development. We have more retail chains than other countries with strong economies, but their share in the overall commerce is lower than in other EU states,” said Chiritoiu.
He added the Competition Council is running investigations regarding discounts.
“We hope investigations will be completed in the second half of the year. If results show firms breached the law, they will face penalties,” Chiritoiu added.