Fair trade practices to be subject to public input before implementation
Thailand’s Trade Competition Committee has issued a set of guidelines to control the retail sector in order to prevent large retailers or retail chains from unfairly taking advantage of producers and suppliers.
The committee’s spokesman, Mr. Santichai Sarathawanpaet, said the guidelines have been posted on the committee’s website, www.otcc.or.th, and members of the public and other stakeholders are invited to express their opinions via the website until May 28th, when the guidelines are to be amended and published in the Royal Gazette for implementation.
He said that the committee had already received input from large retailers, including modern trade operators, producers and suppliers, before drafting the guidelines.
The retail business guidelines will define trade practices which are deemed unfair, including:
- Price suppression of products from producers
- Demanding entrance or special fees for the placement of their products in stores
- Unfair return of goods to the producers or suppliers without fault on the part of the producer or supplier
- Requirements for producers or suppliers to purchase products or services from big retailers in an unfair manner
- Unreasonable rejection of private-brand or house-brand products ordered by the retailers
- Unreasonable removal of producers’ products from display shelves of retailers
- Using producer trade information to produce similar goods in competition with the original producers’ products