Tuesday, May 20, 2014, at 11.00in hall of the Competition Council, in order to exercise prerogatives to prevent anti-competitive practices and unfair competition actions, discussions were held on problems in the sugar market in the Republic of Moldova, with the participation of sugar beet producers of sugar, sugar consumers, concerned associations, representatives of public authorities  from the field and industry experts.

     Thus, it is mentioned that sugar beet growers and processors have fewer competitive problems, while sugar consumers (businesses that use sugar as a raw material base) emphasized the problems that they face, especially in the import of sugar and its derivatives (maltose molasses / molasses starch).

     In this regard, we would like to emphasize that problematic access for large consumers of sugar import is conditioned by the fact that quantities of sugar and sugar products and the preferential import regime established quarterly by the Ministry of Agriculture and Food Industry, together with Union of Sugar Producers from the Republic of Moldova, which may benefit sugar producers. Also bureaucratic and complicated character of the process of obtaining the import authorization for sugar and its products creates obstacles for the largest consumers of sugar.

     Another issue closely related to the import, was discussed at the meeting it was a restricted indication of accredited laboratories in EU countries for testing sugar origin, which list also is prepared by the Ministry of Agriculture and Food Industry jointly with the Union of Sugar Producers from the Republic of Moldova.

     It has also been highlighted that traders practice illegal methods and tools for sugar  marketing to final consumers (households).

     Also in the meeting were discussed issues of the  material goods release mechanism from state material reserves  by the Material Reserves Agency, which can create premises for breach of Competition legislation.

     Thus, in order to exclude the emergence of competitive issues in the sugar market would derived from the issues mentioned above, given that the existing mechanism in the market is quite protected and closed to some market participants, the Competition Council will inform the Parliament and the Government of the Republic of Moldova on the identified issues and considers appropriate to take the following measures:

    –  Review of the regulatory mechanism of the market, in the entire production chain:  sugar beet growth – sugar production sugar marketing in order to create a competitive environment for all participants in this market.

    –  Analysis, reassessment and updating of the Concept of complex sugar beet development approved for 2006-2015.

    –  Revival by the Ministry of Agriculture and Food Industry of the Council on a product (sugar).

    –  Elaboration of a clear, transparent and non-discriminatory methodology, of goods release from the state material reserves.

    –  Making periodic (at least annually) similar debates under the aegis of the Competition Council for situation reassessment and the formulation of new development options.

In the end, the Competition Council wants to thank those who have accepted the invitation and did not hesitate to state the faced problems, hoping to continue their fruitful collaboration and useful discussions.