Business Community Welcomes Abolition of Law on Control Stamps
OREANDA-NEWS. January 12, 2011. Prime Minister of the Kyrgyz Republic Atambaev signed a decree on the draft law "On the Invalidation of Some Legislative Acts of the Kyrgyz Republic". The document is aimed at the abolition of laws and regulations in the implementation of the Law "On labeling control (latent) marks" of November 24, 2006 № 187.
The decision that is favorable to business development in the country was preceded by a vigorous activity of the business community, notably the International Business Council. For several years, IBC struggled against the introduction of the law by addressing the government, holding press conferences and round tables and publishing articles in the media.
Taking into account the opinion of the business community and in order to support business and reduce administrative barriers, the Ministry of Economic Regulation of the Kyrgyz Republic drafted the Law "On the Invalidation of Some Legislative Acts of the Kyrgyz Republic", aiming at the abolition of the Law "On the labeling control (latent) marks.
It is necessary to clarify that the law on labeling control (latent) marks, so far has not been used as list of goods subject to mandatory labeling of control (latent) marks, was not determined by the Government and, accordingly, was not approved by the Jogorku Kenesh.
Meanwhile, as clarified by the IBC Senior Lawyer Gulnara Akhmatova, the authorities could initiate a draft normative act on the approval of the list at any time, and then a business would face a lot of problems with the implementation of the law. First of all, manufacturers have to purchase the latent marks and install special equipment for labeling products as well as hire additional labor``` for its maintenance. This is a huge burden even for such major companies as Coca-Cola Bishkek Bottlers, Ak-Bata and others. With regard to small and medium-sized businesses, few will be able to withstand the burden of additional costs.
With the introduction of latent marks the price of a production will increase that is unprofitable for both producer and consumer, and will negatively affect the future business development.
In addition, the introduction of latent marks would complicate the procedure for importing goods to Kyrgyzstan, and the situation would deteriorate significantly for importers. And most importantly, the introduction of latent marks can not solve the problems with counterfeit products.
Additional costs would have to bear not only business but also the state budget in connection with the need to administer compliance with the law.
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