Regulations on payments of the retail chains to the SME vendors

The reform stipulates:

• the payments to the SMEs by the retail chains should be made within 30 days for food stuff, within 60 days for non-food stuff

• new rules and definitions of abuse of a strong negotiating position: in case the accumulated non-paid sum is above 3,000,000 AMD and the deadlines passed by 30 days, the Competition Committee can fine the retail chain by up to 10% of its annual turnover

•  General requirements for trade network and supplier relations are defined.

• a list of information to be published on the official website of the commercial network was fixed;

• the criteria and conditions for the selection of the supplier's product, the entry of new suppliers into the commercial network are planned;

• the essential conditions of the contract to be concluded with the commercial network have been clarified;

• the maximum terms for payment by the commercial network to the supplier are defined;

• the terms and conditions for the display of products in the commercial network, including the terms and procedure for the promotion of products, the implementation of promotions, the establishment of privileges or other activities aimed at the promotion of products, are provided for.