Since October 2022, Government Resolution No. 713, which sets out the measures to regulate prices, has been in force in Belarus (https://pravo.by/document/?guid=12551&p0=C22200713&p1=1&p5=0). Price restrictions affect producers, importers and sellers of goods on the Belarusian market. The list of regulated consumer goods includes 330 items, including food, clothes, electrical goods, cars and spare parts, construction materials.
The Government Resolution allows to raise prices only upon the consent of the local authority or its commissions. However, the Ministry of Antimonopoly Regulation and Trade may annul such a decision.
On June 8, 2023, the Belarusian Government adopted Resolution No. 713 (3), which amends the price regulation rules. The Resolution introduces new grounds for exemption from the approval of the local authority:
- setting selling prices when the profitability standard of up to 20% is applied;
- changing the consumer product name while keeping the selling price unchanged.
Like domestic goods, prices of imported goods are also subject to regulation. Importers set them based on contract prices, customs fees, transport costs, and other expenses related to import requirements and compulsory insurance. To these costs, the importer's maximum mark-up is added.
Since last autumn, the Government has required producers and importers:
- to prepare economic calculations justifying the selling prices level with a description of cost items,
- to grant wholesale discounts from selling prices of not more than 10%,
- to set maximum import mark-ups, maximum wholesale (trade) mark-ups,
- to bring the prices of remaining goods within 5 working days.
Government Resolution No. 713 (3) modifies the approach to the granting of wholesale discounts from sale prices by producers. While previously such a discount could not exceed 15%, now the producer's wholesale discount is limited to the size of the importer's maximum mark-up. For example, clothes producers could grant a wholesale discount of up to 55% of the selling price.
Since June 2023, retailers can increase the maximum trade mark-up by 10% for milk, butter, sugar, men's suits, women's dresses, refrigerators, washing machines, etc. Conversely, retailers apply importer's mark-ups decreased by 10 % for similar imported goods.
Please refer to the following link for the adopted act of the Government: https://pravo.by/document/?guid=12551&p0=C22307133.
To read our review of price regulation in Belarus, please visit: https://gratanet.com/ru/news/regulation-of-prices-of-goods.