STEPAN ZEMTZOV: “IT IS IMPORTANT TO FIND BALANCE BETWEEN RETAIL CHAINS AND LOCAL ENTREPRENEURS

Stepan Zemtsov, Senior Researcher of the Innovation-Driven Economy Department, Gaidar Institute has commented to the REGNUM News Agency on the information that the RF Government urged Russian regions to underpin the development of local retail markets.

The expert believes that Russia faces both positive and negative outcomes with retail markets being squeezed out by retail chains.

“Ideally, retail markets support local entrepreneurship and through them farmers, low volume producers and the self-employed get an access to buyers. Retail chains, as monopolists, reduce purchasing prices of local products, have little interest in working with small suppliers and give preference as regards the position of goods on shelves to large suppliers. Specifically, retail chains are allowed to pay the consolidated tax at the place of registration,” Stepan Zemtsov explained.