CCI proposed to replace price regulation with targeted payments to those in need

The Chamber of Commerce and Industry (CCI) has proposed to abandon the administrative regulation of prices. In her opinion, instead, it is necessary to introduce measures to support producers and citizens. Among them are targeted payments for foodstuffs to those in need.

The proposal is contained in the resolution of the joint meeting of the CCI committees for the development of the agro-industrial complex, TASS reports. The head of the Chamber of Commerce and Industry Sergei Katyrin sent the resolution to the head of the State Duma Committee on Agrarian Issues Vladimir Kashin for consideration.

“It is advisable to abandon the practice of administrative regulation of prices in favor of more efficient mechanisms that do not directly affect the economies of either trade or suppliers. For example, measures to support producers, offsetting their growing costs, and programs of targeted assistance to citizens, ”the resolution says.

The Chamber of Commerce and Industry believes that the administrative regulation of prices cannot be an effective measure of social support for groups of the population with low income. She notes that the temporary results of setting prices are offset by “negative consequences and potential significant risks that threaten the development of production and the well-being of the population.” “Historical and international experience confirms that attempts to“ manually ”regulate retail or selling prices ultimately lead to stagnation in the consumer market or a shortage of certain categories of food products,” the document says.

The CCI proposes to provide direct support to citizens who find themselves in difficult life situations who are at the labor exchange, as well as families with children with incomes not higher than the subsistence level. The Chamber of Commerce and Industry also proposes to introduce long-term renewable support to producers “through the existing mechanisms for controlling the purchase prices for fuels and lubricants, mechanisms of concessional lending, and crop insurance.”

According to Kommersant’s information, the Ministry of Agriculture has begun to consider new measures to regulate the sugar market in anticipation of the end of the price fixing agreement on June 1. Among them – the creation of an intervention fund to stabilize prices, as well as the continuation of quotas for duty-free imports.

More details – in the material of “Kommersant” “Sugar will not be found.”