The Republic Market Inspection Service has continued its regular controls of price formation for essential food products in this year as well, for which, by the Regulation on limiting profit margins in the trade of goods, a maximum margin amount that can be calculated on the purchase price is limited.
During this year, a total of 171 inspections on the formation of prices of basic food products were carried out in shopping centers and markets. In 23 cases, it was determined that traders did not adhere to the prescribed margins when forming prices, resulting in fines in amount of BAM 345,000. Additionally, inspectors identified other types of irregularities related to invoicing, price compliance, business bookkeeping, and records maintenance. Consequently, 154 misdemeanor orders were issued to traders, in total amount of BAM 94,100.
In each inspection where the margin was found to be exceeded, the price correction was ordered. In cases where these deviations amounted to a few pfennigs, such correction is not noticeable in consumers’ budgets, but for the inspection, even these minor deviations are considered violations.
We would like to remind you that margin restriction applies solely to basic food products precisely defined by the Regulation and that for all other products, prices are formed according to market supply and demand. In other words, it is a question of free formation of prices, as prescribed by the Law on Price Regulation.
Furthermore, regular inspections are also conducted to ensure compliance with the Regulation on limiting profit margin in price forming of liquid oil derivatives. In this year, a total of 113 controls on the formation of prices of liquid oil derivatives were carried out, of which eleven were found to have irregularities, because traders did not adhere to the prescribed profit margins during the formation of prices. On that basis, fines in the total amount of BAM 165,000 were imposed. Also, due to other types of irregularities related to keeping business books and records and the like, fines in the amount of BAM 26,400 were imposed.
In accordance with the work plans of the Chief Republic Market Inspector, inspections of price formation will continue in the upcoming period. The Market Inspection Service will monitor the situation in the field and adjust its work as the situation demands.
