Action may be taken against Romania's new legislation to protect domestic products if the measure ends up being approved by the House of Representatives, according to Gyerkó Laszlo, vice president of the Competition Council.
The draft regulation would require 51% of all food products sold to be of Romanian origin, with some concessions only during the winter months, in December and January, when the share of imported fruits and vegetables could reach 70 percent. Senator Ovidiu Donţu, of the ruling Social Democratic Party (PSD), justifies the measure with the argument that it would help create jobs, increase tax revenues and give a boost to the Romanian market, as well as to the competitiveness of small producers.
It is also worth noting that the European Union's rural development programme for the 2014-2020 period also places great emphasis on the promotion of short food supply chains to reduce the distance between local producers and local consumers.
However, the Competition Council warns that the bill would conflict with EU competition rules. "It is understandable that each country is intended to favour its own domestically produced product, nevertheless, the adoption of this law was not preceded by a realistic analysis, not to mention that the EU regulations to ensure a free market, with free movement of goods, are not compatible with such restrictive measures," stated Mr Laszlo. The Vice President of the Competition Council added that if the House of Representatives voted in favour of the new legislation, the EU could start infringement proceedings against Romania.
