The Ministry of Agrarian Policy has published a project that envisages commercial supplement restrictions for certain foodstuffs within 90 days.

Grocery storePhoto: Mathieu Thomasset / AFP / Profimedia Images

Project for capping commercial food additives – click to open

How to limit the commercial allowance

  • the commercial markup applied by the processor can be a maximum of 20% compared to the production cost of the product, calculated in accordance with current accounting regulations, which includes direct and indirect costs;
  • the commercial surcharge, applied cumulatively throughout the distribution chain, regardless of the number of distributors in the chain, can be a maximum of 5% compared to the purchase price, to which are added operating costs;
  • the commercial markup applied by the merchant for retail sales and cash&carry can be a maximum of 20% compared to the purchase price, to which the merchant’s direct and indirect costs are added; discounts and rebates will also be included in the maximum commercial markup of 20%

Commercial allowances are applied to the VAT-exempt value of agricultural and food products supplied.

Companies will have to change within 30 days (from the date of entry into force – this depends on when it is adopted and published in the Official Gazette) current commercial contracts whose terms and conditions conflict with the regulation.

The list of agricultural and food products that should decrease in price in 3 months

1. Plain white bread weighing 300-500 g, without dishes

2. Fresh cow’s milk 1 liter, fat content 1.5%

3. Telemea cheese from bulk cow’s milk

4. Natural yogurt from cow’s milk 3.5% fat, maximum weight 200 g.

5. White wheat flour “000” 1 kg

6. Sieve 1 kg

7. M caliber chicken eggs 10 pcs.

8. Sunflower oil 1 liter

9. Fresh chicken meat

10. Fresh pork

11. Fresh vegetables wholesale

12. Fresh fruits wholesale

13. Fresh white potatoes in bulk

14. Cast white sugar 1 kg

What fines can be received by companies that do not comply with the regulation, and who will impose them

Failure to comply with the provisions is a misdemeanor, unless it was committed under such conditions as to constitute a crime under criminal law.

Violations are punishable by a fine from 100,000 to 2 million lei.