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RETAILING
PHUSADEE ARUNMAS
The government has pledged to dust off the draft of the long-delayed Retail and Wholesale Act prepared by the defunct National Legislative Assembly.
Commerce Minister Chaiya Sasomsab said yesterday the ministry would move ahead with the draft after he met with the Senate Committee for Economy, Commerce and Industry, which has called on the government to speed up the retail legislation.
Mr Chaiya said it would take about two weeks for the ministry to re-examine the proposed legislation and consult with the Council of State before the law could be sent to the cabinet for approval.
The long-awaited retail industry regulations have moved at a snail's pace despite operators of small stores calling for years for legislation to regulate the rapid growth of hypermarkets, chain convenience stores and other large operators.
Critics say that the Interior Ministry's current urban planning and building codes are not adequate for the changed business environment, in which chains are squeezing out family businesses.
The new law did not win support during the Thaksin Shinawatra administration.
Even when it was approved by the Surayud Chulanont government, the National Legislative Assembly sent the draft back, citing many unclear issues.
Under the current draft, which focuses on protecting local retail businesses, existing giant retailers can expand but must comply with new regulations - restricting operating hours, size and proximity to the city centre - to leave room in the market for small players.
Boonchai Chokwatana, the chairman of the Senate Committee for Economy, Commerce and Industry, said the industry wanted the government to legislate the new act within its current term.
He said the overall economy would eventually be hurt if there were no law to govern and regulate the local retail business.
"The act needs to be legally enforced within this administration," said Mr Boonchai. "Details of the act and other practices could be worked out later."
Somchai Pornrattanacharoen, chairman of the Thailand Wholesale and Retail Association and a member of the Senate Committee, said the government was being urged to submit the draft to the House before it closes its session on Nov 28.
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