Mihajlo Rabrenović, a state administration management expert, stated that the profit margins of major retail chains in Serbia have doubled in recent years, which is unacceptable given that similar products are cheaper in neighboring countries and the EU.
He praised any government measure aimed at protecting consumers while maintaining economic sustainability and emphasized that the inflated margins in large food retail chains present a serious issue.
Rabrenović sees this situation as a test for the government to prove whether state institutions can stand up to the power and lobbying influence of large retail chains. He hopes that laws against monopolistic practices will be enforced effectively, including the current Trade Law and misdemeanor regulations.
He also called on the Competition Protection Commission to present its findings and actions after nearly a year of investigation, suggesting it should align with government policies against unfair market behavior.
Rabrenović advocated for greater transparency by providing online comparisons of retail chains’ wholesale prices, profit margins, and retail prices in Serbia versus neighboring countries to benefit consumers.
Noting that two large domestic and two foreign retail chains dominate the market, he urged the European Commission to engage with foreign retailers operating in Serbia to ensure fair pricing consistent with EU market standards.
Finally, Rabrenović mentioned that Serbia has addressed many economic challenges over the past decade, including those caused by the COVID-19 pandemic. He highlighted that the government is now focusing on social measures such as offering more affordable bank loans to sensitive social groups, encouraging banks to demonstrate social responsibility by providing better financing terms.
