Association believes current rules enough
The
Thai Retailers Association (TRA) opposes a draft retail bill by the government,
saying it would be unfair for many retailers and particularly modern trade.
President
Busaba Chirathivat yesterday said the draft law appeared biased, as it would
strictly control only modern trade operators.
Moreover,
the law would freeze growth in the local retail sector and block several
retailers from capitalising on the Asean Economic Community in 2015 due to
business limitation and a lack of government support.
Instead,
the association wants to see new retail regulations applied to all retail
sectors, from modern trade to traditional retailers.
The
current draft, drawn up five years ago, is seen as outdated for the dynamic
retail situation. Today's retailers can sell products not only in physical
shops but also online.
Ms
Busaba cited six existing regulations on local retailers including city zoning
and building controls, environmental restrictions and laws overseeing
competition and consumer protection.
Modern
retailers in Thailand are at the forefront of Asean. They can create a route to
bring local suppliers, especially small and medium-sized companies, into the
regional market.
"The
government should see modern retail as a potential business area, not a sector
it has to seriously control," said Ms Busaba. "It's not necessary to
have the retail law to regulate us, as we have many regulations now."
Asked
about the Internal Trade Department's intention to put one-dish meals on the
price-control list and force retailers to cut fees for vendors at food courts
to 20% from 37-40%, she said the department should look into the entire supply
chain of one-dish meals.
"Modern
retailers did not set too high a fee at food courts to make huge profits like
many people believed," said Ms Busaba.
"The
fee covers all expenses _ value-added and income taxes, electricity, water,
air-conditioning and cleaning services."
She
urged the department to probe one-dish meals sold by general street vendors and
see whether they have raised prices.
Director
Chatchai Tuangrattanapan said the TRA conducted a survey of one-dish meal
prices at food courts owned by Tesco Lotus, Big C and Tops Supermarket and
found prices were the same both the pre- and post-flood.
The
rise of the daily minimum wage to 300 baht a day has heightened costs for the
retail business, which contributes 13.1% of gross domestic product.
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