highest prices in Europe on consumer goods in one of its poorest countries

Moldova to improve its retail business regulation

The Government intends to introduce order in Moldova's internal trade, as it considers the existing highest prices in Europe on consumer goods in one of its poorest countries as a crime against the citizens.

Vice-Premier, Minister of Economy Valeriu Lazar said that the reason for high prices on consumer goods is a high cost of trade transactions.

"It is not normal, when the profitability in the trade constitutes 500%", the minister considers.

He expressed his dissatisfaction concerning the quality of products at the market.

"There are thousand and one controlling institutions in the country, but despite of this fact consumers have to buy low-quality products", Lazer said, who considers that the provision of the Moldovan citizens' decent life and consumer protection as the state's most important objective.

He said that in order to solve this task, the Government works out the Bill on Internal Trade, which is designed to remove the existing market problems. The document is worked out by a new department on trade policies, which was set up by the Ministry of Economy.

Lazer said that the Government will have to analyze the situation in the retail trade and services network of the Moldcoop Union of Consumer Cooperation. He expressed regret with the fact that the Moldcoop will not invest its financial resources in the development of its own infrastructure and it will not attract investors' financial resources.

Earlier Prime Minister Vlad Filat also said that the Government has many questions to Moldcoop, in particular, concerning the assets of these enterprises and the document, confirming the share of their participation and the state of objects.

The sale volume of consumer goods in Moldovan shops constituted 17.93 billion lei ($16.3 million) over 11 months of 2009, it dropped by 4.6% against the same period of 2008. The decrease is conditioned, mainly, by a 10% decrease in the sale of industrial goods. The trade in food products, which accounted for a little more than one third of the retail trade volume, increased by 5.1%.

Infotag, Moldovan news agency