The Government of the Federation of Bosnia and Herzegovina has prepared amendments to its Law on Internal Trade, deleting the provision that obliges retailers to source at least 50 percent of food products on shelves from domestic manufacturers.
In the opinion of the European Commission, the provision of Article 13 of the Law undermines the consistent application of the principle of free trade under the Stabilisation and Association Agreement. In addition it creates obstacles in the negotiations of Bosnia and Herzegovina to join the WTO.
The provision imposing that half of the foodstuffs are of local origin entered into force in 2011 and was valid for stores larger than 1,000 square meters.
However the local authorities did not apply the provisions of the law rigorously, with retailers providing only a written statement guaranteeing the respect of the law.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. To subscribe to ESM: The European Supermarket Magazine, click here.