Economic

Russian products stay as Moldova eyes tax on Temu orders

Russian products will not disappear from store shelves in the Republic of Moldova for the time being. However, cheap parcels from Chinese platforms, such as Temu, could soon face new taxes or regulations.

This was announced by Minister of Economic Development and Digitalization, Eugen Osmochescu, during the "La 360 de grade" show on Radio Moldova on December 1st. The potential moves aim to balance consumer protection with the interests of local producers in Moldova.

Addressing the contradiction that Moldova has ceased importing Russian gas and petroleum products, yet Russian goods remain widely available in stores and pharmacies, Minister Osmochescu admitted the Executive lacks a full impact assessment for a potential ban on Moldova imports.

"We have not made any special calculations for imports from the Russian Federation and their impact on the economy. We can and I promise we will do it, because we want to focus on competitiveness in certain areas, and that includes monitoring imports," Osmochescu stated.

Despite this, the Minister rejected the idea of an immediate, total cessation of all Russian-origin imports. "Let me be clear that imports cannot be excluded. No, I haven't said that for the moment," the official emphasized.

Osmochescu's comments come amid rising public dissatisfaction. Citizens frequently protest upon discovering the "Russian Federation" mentioned on product labels. The Minister acknowledged the issue’s sensitive geopolitical dimension.

"That's another geopolitical issue that needs to be very carefully evaluated," Osmochescu said. He stressed that any decision must weigh the political context against the economic security interests of Moldovan producers.

Regarding long-term economic strategy, Osmochescu confirmed that reorienting Moldovan exports toward the European market has been beneficial. Authorities must now ensure "the protection of our producers and exports on European markets."

Separately, the Minister rejected the imposition of mandatory retail quotas, such as "50% local products," in supermarkets. "It is not correct. It is not a rule of a market economy. It is not correct, according to international regulations and best practices," he affirmed.

Instead of quotas, he advocated for marketing and clear consumer information. "We can do something else. We can have marketing programs on store shelves, where products from the Republic of Moldova are clearly identified, as well as those from other states, and promote local consumption. Limiting is not legally possible."

Online Orders from China Could Face New Regulations and Taxes

The influx of low-priced online orders from China, especially via platforms like Temu, is another sensitive topic for consumers. Authorities are actively discussing regulation scenarios, including a possible taxation (Temu tax Moldova) of these parcels.

"First of all, it concerns the fiscal and budgetary domain. Discussions are underway. It concerns the protection of the local producer, but also of the local consumer, because we cannot provide declarations and guarantees on quality. So, these are matters under discussion," Osmochescu explained on Radio Moldova.

The Minister acknowledged that authorities must strike a balance between the interests of consumers and those of local retailers, who sell the exact same Chinese products at higher prices.

"We must examine this and see, because it is about the security of people, consumer protection, and the protection of our producers in the Republic of Moldova," Osmochescu affirmed.

When directly asked if an additional tax would be introduced for parcels from China and other similar countries, the Minister did not rule out the possibility.

"Possible, certainly. Because there are different scenarios on the table, different scenarios under discussion. I cannot tell you for sure," he concluded, suggesting the final decision rests with the Ministry of Finance.

Translation by Iurie Tataru

Doina Bejenaru

Doina Bejenaru

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