SMEs as well as local manufacturing and distribution companies may be protected by law from unfair commercial practices in relationship with retailers.

The draft law "on prohibition of unfair commercial practices by retailers" is already registered in the Parliament of Georgia.

It has to be mentioned, that the relationship between suppliers and retailers is regulated by law in a list of countries in Europe, America and Asia.

During the meeting, organized by the Georgian Distributors Business Association, representatives of up to 80 member companies discussed the challenges in relationship with retail sector. Meeting was attended by the initiator of the bill, member of EU integration committee of the Parliament of Georgia, Beka Natsvlishvili.

Problems arise in case of violation of both the terms of the contract and the terms of payment. Which creates working capital shortages, hinders the import of raw materials and products and ultimately has a negative impact on consumers.

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