FAS shall react on new practices of retail chains

On 24 March 2017, experts on competition law analyzed antimonopoly enforcement in product sales in the course of the Antimonopoly Forum at the Chamber of Commerce-and-Industry of the Russian Federation

The main item on the agenda were preliminary findings of FAS monitoringon enforcement of the norms of the Law on Trade that came into force at the beginning of 2017.

Deputy Head of FAS Andrey Kashevarov stated: “We are observing emerging of doubtful practices in operations of retail chains, designed as we suspect at maintaining profitability at the same level in spite of everything. Such practices include: requirements of discounts after signing contracts, when the issue of price is already agreed; fines that seem unreasonable; audit at the expense of suppliers which directly or indirectly is a barrier to entry retail chains”.

Deputy Head of FAS Department for Control over Social Sphere and Trade, Ekaterina Uryukina, presented detailed monitoring data, drawing attention to percentages of facts that have signs of different violations.

Other speakers included representatives of Legal Department of “Achan” and “X5 Retail Group”. The market participants pointed out at the difficulties of reading the norms of the Law and asked FAS to give an opportunity to correct shortcomings and eliminate violations exposed in the course of inspections.

Summing up, Andrey Kashevarov said that additional explanations will be devised on discounts.  “Hopefully, we are heard in the discount dialogue. From our side, we will prepare explanations. FAS ultimate goal is to ensure consumer well-being”.