The Bulgarian Retail Association has called on the government to scrap a draft plan for working out the "fair value" of goods. The group made the call in a statement sent to BTA, saying the plan would hurt both shops and shoppers.
The economy ministry drew up the document and published it in early August. It follows changes to the consumer protection law passed in June. Under the new rules, prices of certain basic goods get checked if they stray more than 10% from their so-called "fair value".
The association says the plan amounts to the state stepping into the free market where it doesn't belong. Prices would then be set not by supply and demand but by subjective formulas dreamed up by officials, retailers say. This pushes the state beyond its constitutional job of keeping the market open and fair, and turns regulators into players inside the supply chain itself, the association says, calling this bad economics.
The plan would also make it harder for businesses to run flexible pricing or offer discounts. If a price goes back to normal after a promotion ends, inspectors could flag that as an "unjustified increase". The association says this would kill off regular sales and promotions, leaving shoppers worse off.
Forcing prices to stay artificially low will push companies to stop importing and selling some products altogether, the association warns. That means items disappearing from shelves and shortages of basic goods.