March 2008:

March 2008, the Cabinet of Ministers of Ukraine and nation's largest retailers have signed the Memorandum of Mutual Understanding. RetailStudio evaluated the agreement and published a position paper on the issue.

We believe that the Memorandum has simulated policy dialogue. The Cabinet has indeed signed a public deal with the business. However, a fierce verbal campaign against the retailers has started in the regions as the Competition Commettee blamed the sector for artificial price increases.

As a result, the sector lacks the essential policy dialogue. The verbal attacks against the sector have reduced trust between society and retail business, retail business and the Government. In addition, the Cabinet also has failed to effectively manage the price increase.`

RetailStudio Position Paper stipulates that the sector needs a systematic and scrupulous policy dialogue which will determine:

• What are true factors of price increase? What is ratio of objective and subjective factors?
  
• Was the Cabinet's model of pricing policy effective? Was it dialogical enough? Is there any demand for policy dialogue in the sector?
  
• Are there any effective policy dialogue forms that can be effective in the Ukrainian context?
  
• How Ukrainian retail can regulate itself, including prices?

Download RetailStudio Position Paper on the Memorandum of Mutual Understanding (Rus.)

Download RetailStudio Press Release on the Memorandum of Mutual Understanding (Rus.)