The Head of Russia’s FAS Presented the Annual Report on the State of Competition to the Government

The Head of Russia’s FAS Presented the Annual Report on the State of Competition to the Government
Photo: https://nao24.ru/vlast/19179-ozvucheny-imena-potencialnyh-kandidatov-v-novoe-pravitelstvo-rf.html 05.10.2022 565

The Head of the FAS Maxim Shaskolsky reported to the Chairman of the RF Government Mikhail Mishustin on the key achievements of the Service in the field of the state competition policy in 2021 at the meeting of the Government of the Russian Federation.

The head of the department noted that at the state level a set of measures had been taken aimed at ensuring stable operation of domestic markets, preventing a commodity deficit and supporting businesses.

In order to prevent the growth of prices for citizens in 2021-2022 the service has carried out a lot of work to control pricing in the food market. The department managed to reduce the average level of mark-ups on products in 11 federal trading networks from 22% to 7,5% as of the current moment.

Also, in 2021 FAS of Russia excluded 6.9 billion rubles from the regulated tariffs, which were unreasonably included by the resource supplying organizations. This made it possible to reduce the costs of citizens and legal entities.

Following the results of compulsory re-registration of prices for vital and essential medicines in 2021-2022, FAS has reviewed almost 14 thousand prices, more than 7 thousand of which were reduced on average by 30%. Savings for citizens and the budget as a result of price reductions amount to at least 40 billion rubles per year.

In 2021, the service reviewed cases against a number of "digital giants". As a result, multi-billion dollar fines were imposed on companies for violating antitrust laws:

  • Google - 2 billion rubles;
  • Apple - 906 million rubles;
  • Booking - 1,3 billion rubles (the organization has already paid a fine to the federal budget).

Also the service and the largest Russian IT-companies (Yandex, Sber, Vkontakte, Wildberries, Ozon and others) have signed the Principles of interaction between participants of digital markets. This will help create an institution of self-regulation for the industry and improve the competitiveness of Russian companies in the global market.

The "fifth antimonopoly package" developed by the Federal Antimonopoly Service is being prepared for consideration by the State Duma. Its adoption will make it possible to establish legal mechanisms to counteract "digital cartels" and protect consumers from the abuse of market power by digital platforms.

In the field of public procurement, an "optimization" package of amendments to the Law on the Contract System was adopted. It is aimed at simplifying procurement procedures, digitalizing them and combating "professional complainants".

The service is also actively working on the development of exchange trading. In 2021 the volume of sales of mineral fertilizers, different kinds of oil products, timber and some kinds of foodstuffs at the exchange was increased. Further development of exchange trade will allow to form transparent price indicators and reduce dependence on sharp price fluctuations in foreign markets.

In conclusion he emphasized that the key document in the field of the competition policy is the National Plan for the development of competition in 2021-2025. The measures it contains are aimed at developing small and medium-sized businesses, ensuring efficient and transparent management of state and municipal property and eliminating administrative barriers and distortions of the competitive environment.

Source: FAS

Russia 

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