Cyriel Ruers, Martijn van de Hel and Diederik Schrijvershof wrote an opinion piece for Distrifood – the Dutch leading the food retail platform – on government interference in price negotiations between supermarkets and producers. There is growing political pressure to combat price differences for identical products between EU countries. Although this position has electoral appeal, it carries risks of market disruption and there is uncertainty about the actual benefit to consumers.
Abolishing territorial supply restrictions could actually have the opposite effect. Politicians should refrain from direct interference in the market process and instead ensure effective competition through existing competition rules.
See here for the article in Distrifood.
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