COMPETITION LAW
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store), insert fees, electricity fees, participation in the promotion
fees related to consumers, staff requests, free / taste good, store
opening fees, anniversary fees and end-of-year discount.
• Payment terms are not fully respected within payments to be made
by retailers to suppliers. In food production contracts, the payment
term which is usually determined as 60-90 days is extended up
to 130 days in practice. However, this problem is expected to be
remedied with the relevant provisions introduced by the New
Turkish Code of Commerce
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(hereinafter referred to as the “New
TCC”). As a matter of fact, the New TCC introduces a limitation
of sixty days for payment periods in commercial relationships in
order to protect creditors’ interests.
• Total share of private label products in total shares are remarkably
low in comparison with the shares in European countries. Indeed,
this share is equal to 54% in Switzerland, 47% in England, 40%
in Spain, 31% in Austria and 13% in Italy while this share is just
equal to 8% in Turkey. However, this particular share segment is
growing fast in Turkey and as a consequence of this incremental
expansion; suppliers sometimes face problems in finding shelf
space for their branded products.
Proposals for FMCG Sector
The Board, in the Preliminary Report, made some proposals with
a view to overcome the above-mentioned (possible) problems by being
inspired by the different regulations existing in different countries.
Reduction of Turnover Thresholds for Concentration.
The Board,
on the basis of the above-stated minor acquisitions, proposed to reduce
the turnover thresholds concerning the notification of concentration
specifically for the retailing of FMCG and refers as example to France
where turnover thresholds were reduced by 50% specifically for the
retailing of FMCG.
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The New TCC was published in the Official Gazette dated 14.02.2011 and numbered
27846. To consult the New TCC, see the following link:
http://www.resmigazete.gov.tr/main.aspx?home
=http://www.resmigazete.gov.tr/eskiler/2011/02/20110214.htm&main=http://
www.resmigazete.gov.tr/eskiler/2011/02/20110214.htm.