site.btaConsumer Protection Watchdog Finds 84 Overpriced Products in Run-up to Euro Changeover

Bulgaria's Commission for Consumer Protection (CCP) has identified unjustified price increases for 84 products (out of 163 monitored) at 49 retailers (out of 75 checked), CPC acting Chair Alexander Kolyachev said here on Wednesday. The overpriced items are mostly fruits and vegetables, eggs, and personal hygiene products.

He spoke at a meeting of the Standing Parliamentary Subcommittee Monitoring Consumer Protection and Monopolies Restriction.

Kolyachev's Commission is checking a total of 101 goods in the large consumer basket, perusing reports filed by traders with an annual turnover of more than BGN 10 million. They are obliged to publish daily the individual selling prices of the products concerned and provide additional information to the CCP at request.

As from October 9, the Commission began checking retailers detected as having failed to comply with the requirements of the law. Ninety-seven written statements ascertaining administrative violations have been drawn up for unfiled or delayed data submissions. The Chair added that 99% of the obliged traders already comply with their obligation to submit information on a daily basis.

Between October 9 and November 28, the Commission conducted a total of 2,834 checks at offline retail outlets, ascertaining 175 violations, most often no displays of prices in euro, non-conformity with the required font size, and misconversion of the two currencies.

Eighty-two written statements ascertaining administrative violations have been drawn up so far, giving rise to the conclusion of 53 agreements on voluntary compliance and eight penalty decrees.

Arrangements have been made for checks due between December 10 and 12 of traders with a turnover of under BGN 10 million who sell monitored goods.

As part of a large-scale awareness raising campaign on the introduction of the euro, implemented jointly with the National Revenue Agency, the Finance Ministry and other institutions, more than 194 meetings have been held countrywide, of which 168 with traders and local structures. Brochures, explanations and practical directions regarding the new requirements have been made available to the public and the business community. 

Replying to a question from Boris Aladzhov MP of Vazrazhdane, Kolyachev said that the law does not specify whether the lev price should be displayed before the euro price or the other way round, which is why the lower figure in euro coming first does not qualify as a violation, even though consumers may be misled. Only a wrong font size or wrong conversion of the values are detected as violations.

Asked by Maria Ilieva MP of Velichie, the CCP Chair explained that a price is considered to be unjustified on the basis of the product's cost price, profit margin and trader's costs that depend on objective economic factors. The price may fluctuate upward or downward depending on the market situation.