The government did not support the regulation of trade margins

The Ministry of Agriculture and the Ministry of Industry and Trade see no need for state regulation of trade margins. They believe that the measure could lead to destabilization of the economy and deficit. The Ministry of Agriculture also noted that a permanent limitation of margins is impossible without regulating each stage of production and sale of products.

The Federal Antimonopoly Service considers the existing price control tools and voluntary price restriction by chains to be sufficient. In addition, the government has the right to impose marginal prices for individual products for up to 90 days if they increase by more than 10% within 60 days, without regard to seasonality. Regulators and retail chains can also agree on voluntary margin caps on some vegetables, dairy products, sugar and bread.

Chairman of the Presidium of the Association of Retail Companies (includes X5 Group, Magnit, Lenta, Auchan, etc.) Igor Karavaev believes that instead of reducing the cost of goods for suppliers and networks, it is better to use targeted taxation tools, up to a reduced VAT rate on certain goods, a flexible credit policy, preferential rent and antimonopoly price controls.

The draft law on establishing a marginal markup on socially important products up to 10% was considered in the State Duma for the first time in February 2022, after which large chains voluntarily reduced markups on some goods to 5%.