The Ministry of Economy and Commerce (MEC) yesterday said it has started implementing Cabinet Decision No.24 for 2016, which exempts 35 commodities from the provisions of Law No.8 of 2002 regulating the work of commercial agents.
The MEC has informed the General Authority of Customs about a list of around 420 commercial agencies whose monopoly for importing these products has been scrapped. It has also informed agents about the removal of the 35 food and consumer products from the records of commercial agents, according to a report by the official Qatar News Agency.
The 35 products in question include powdered and condensed milk along with all dairy products. Chicken, meat and related products, including eggs, are also on the list. Rice, flour, fish and seafood in general are also included along with all tea brands, coffee, sugar, honey, juices, soft drinks and mineral water.
The list extends further to include table salt, all kinds of pastries, biscuits, chocolates, ice cream, nuts, chips, frozen food products, tomato paste, grains, popcorn, legumes, cooking oil, margarine, aluminium, food preservatives, personal and home hygiene products.
The MEC stressed that the measures would help boost business environment in the country and offer new incentives to young importers to enter the market.
The ministry has co-ordinated with the state’s outlets in order to carry out the decision, which aims to improve market competitiveness and lower prices. The law, it is noted, prevents a number of food and consumer products to be owned by a particular commercial agent.
Cabinet decision No.24 for 2016 came on the back of a study, which revealed that the food and consumer products in question were in the hands of a small number of agents. The study also noted that, in some instances, one agent would hold the right to import different brands that were meant to compete in the market and not complement one another.
Such practices prevented prices from falling and did not provide any incentive for agents to improve the service they offered to consumers, it was felt.
The decision will allow traders, who did not have the necessary rights to import these products, to do so now. This will help enhance market competitiveness and bring down prices, it is believed.
“The decision is part of the ministry’s efforts to end unjustified increases in price and encourage competitiveness in light of the free market policies the government is undertaking. The role of the ministry in enhancing the competitiveness of the national economy will help realise Qatar National Vision 2030,” the report said.
HH the Emir Sheikh Tamim bin Hamad al-Thani had ratified Cabinet Decision No.24 of 2016 in June this year.
Earlier, in April, the Cabinet had issued a draft law regulating the import and sale of goods by commercial agents and traders in Qatar.
HE the Prime Minister and Minister of Interior Sheikh Abdullah bin Nasser bin Khalifa al-Thani had observed that exempting some goods from the law regulating the work of commercial agents reflected the government’s commitment to monitoring and regulating the market.
On his part, HE the Minister of Economy and Commerce Sheikh Ahmed bin Jassim bin Mohamed al-Thani had said the decision would support the ministry’s efforts in combating monopolies and regulating prices.