Background 

Pursuant to the Law;

• All manufacturers, suppliers and retail businesses to avoid excessive and exorbitant selling price increase of a good or service;
• All manufacturers, suppliers and retail businesses to avoid activities that disrupt the market status and free competition and prevent the consumer from accessing goods by creating scarcities in the market;
• Unfair Price Assessment Board (“Board”) has been established in order to regulate all manufacturers, suppliers and retail businesses regarding exorbitant price increases and stockpiling practices, to impose administrative fines by making inspections and examinations when necessary and to take every precaution.

The purpose of the Regulation is to regulate the procedures and principles regarding the formation, duties and authorities of the Board, which will operate in cases of emergency, disaster and economic fluctuations and other emergencies, and to monitor the excessive price increase and stockpiling practices of manufacturers, suppliers and retail businesses and to impose administrative fines.

The Board’s duties and authorities which will be established in accordance with the Regulation are as follows:

• to take necessary measures and ensure their implementation to protect the market balance and consumers against exorbitant price increases and stockpiling practices;
• to make or enable making inspections and examinations related to exorbitant price increase and stockpiling practices. To obtain or enable obtaining the statement of the manufacturer, supplier and retail businesses regarding these inspections and examinations;
• to make decision regarding administrative fines and to ensure the implementation of this decision within the framework of Article 18/1 (l) of the Law on manufacturers, suppliers and retail businesses that are found to act in violation of the obligations specified in Annex Article 1 of the Law;
• to determine the principles and rules regarding exorbitant price increase and stockpiling practices; and
• to fulfill other duties given by the Minister of Trade regarding exorbitant price increase and stockpiling practices.

During inspections made ex officio or on complaints, first of all, an inspection will be made and a statement period will be given by the Ministry, provincial directorate or authorized administration to the manufacturers, suppliers and retail businesses, not less than ten days starting from the day of inspection. This period can be extended for one time up to ten days. After the inspection process, the Ministry will implement the decisions taken by the Board.

Pursuant to Article 15 of the Regulation, the administrative fines will be imposed on those who carry out activities and practices involving unfair prices, by taking into consideration such issues as the weight of the act being committed and the content of the unfair act, the type size and sector of the business, the benefit provided by the exorbitant price increase and the stockpiling practice and whether the administrative fines have been previously applied in the same subject. Those who act contrary to Additional Article1/1 of the Law will be fined from ten thousand Turkish liras to one hundred thousand Turkish Liras; and to those who act contrary Additional Article 1/2 of the Law will be fined from fifty thousand Turkish Liras to five hundred thousand Turkish Liras.

Pursuant to Article 14 of the Regulation, the Board decisions that are to be implemented by the Ministry can be announced by the Ministry for the purposes of informing and enlightening the public and protecting the economic interests of the parties in the goods and services market.

Scope of Application

Since the Board will operate in times of emergency, disaster and economic fluctuations and other emergencies, and as the Law numbered 7244 on Reducing the Effects of the Novel Coronavirus (COVID-19) Outbreak on Economic and Social Life and Amendments to Certain Laws, the applications made to the Ministry before 17 April 2020, on which the aforementioned law entered into force, regarding practices of exorbitant price increases will be finalized by the Board of Advertisement within the scope of Consumer Protection Law numbered 6502 and its secondary legislation.