The idea of a “fair price“ can help consumers, but it should not become a tool for regulating the market. This was warned about by the former chairman of the Consumer Protection Commission Dimitar Margaritov to BNT.
According to him, the measures taken by the government against the unjustified price increase are a step in the right direction, but care must be taken not to lead to excessive state intervention in market mechanisms, novini.bg specified.
In the studio of "The Day Begins" Margaritov pointed out that the reference value of a given good can be useful for both consumers and traders.
“Fair value is a good idea, because when you have such a reference limit, both parties in the market process can orient themselves“, he commented.
The proposed methodology for determining the “fair value“ envisages taking into account various factors when calculating reference prices. According to Margaritov
French experience was also used in its development.
The public debate is also discussing the idea of the so-called “a board of shame“, which would show traders whose prices are significantly above the reference values.
According to Margaritov, publicity can have a reputational effect on traders, but the reference price should not automatically become a regulatory threshold.
He warned that if exceeding a certain reference value starts to lead to sanctions, this would already mean direct intervention in market pricing.
“Basket with Care“ is also in question
He also commented on the “Basket with Care“ initiative, which was agreed upon between the government and large retail chains.
Margaritov pointed out that the initiative may have an effect, but control over it must be constant – both in terms of prices and in terms of product quality.
In his opinion, the question of whether the goods sold as a certain product actually meet the requirements for the respective name is particularly important.
The “bigger board of shame” should be related to the quality of food, he believes.
According to Margaritov, price control should go hand in hand with control over the content and quality of the goods sold.
He emphasized the role of the Bulgarian Food Safety Agency in inspecting food products.