The government of the FBiH has established and submitted the Draft Law on Internal Trade to parliamentary procedure. This law is going to regulate the conditions and manner of performing trade (including retail) and trade services, the rights and obligations of traders, forms of trade, the manner of forming and highlighting prices, trade records, monitoring trade and markets, and consumer protection. Legal solutions relating to unfair commercial acts, prohibition of trade restrictions, and temporary measures of restriction of trade, as well as administrative and inspection supervision over the application of this Law, are also specified, as are other issues of importance for conducting trade in the territory of the Federation of Bosnia and Herzegovina.
Additional regulation of matters crucial for traders and customers, including online sales channels, is announced as part of FBiH's Draft Law on Internal Trade.
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Federation of Bosnia and Herzegovina
Author: Kristina Dosen
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Fiscal subject related
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Content accuracy validation date:
31.03.2023
Content accuracy validation time:
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As explained by the relevant ministry, the priority is to create in the following months the best possible legal framework for further improvement and development of trade inside the country. Also, the need to respond to the demands for modernization of the trade sector and practices that appeared during the application of the current Law on Internal Trade ("Official Gazette of the FBiH", Number 40/2010 and 79/2017) conditioned the need for more complete and precise regulation of trade activities.
The novelties, among others, will refer to a more precise explanation of the concept of trader and trade activity, as well as other entities that, under certain conditions, can perform this activity (natural persons, associations, farmers). According to the explanation of the Ministry, the actions and obligations of traders are additionally regulated, as are issues that are of importance to consumers (granting discounts, selling at reduced prices upfront, etc.).
Internet sales will also be regulated in certain details, bearing in mind their increase in total retail turnover. The explanation notes that with the development of internet sales, certain deviations have arisen due to the legally unregulated situation in the field of e-commerce business, and it is necessary to provide legal mechanisms for this area. According to the explanation, the Draft Law stipulates, that a trader carrying out distance sales must provide exhaustively stated information about himself in a form and in a way that is directly and permanently available to consumers and the competent inspection authorities based on the regulation in force.
Furthermore, the draft specifies the reasons for issuing a decision on the termination of the commercial activity ex officio. More precisely, the manner of forming and highlighting the retail price is regulated here as well, as is the obligation to keep a book of complaints in stores, as well as the substantive and legal provisions that give concrete authorization to undertake specific administrative actions to the inspector in the process of inspection supervision, i.e., certain audit rules.
Due to the scope of the decision that it is necessary to adopt, a new legal act has gotten its first draft, which practically sublimates all previous solutions, and introduces completely new provisions and measures in the sphere of performing trade activities. The time when this law is expected to become public as an adopted regulation is somewhere during the third quarter of 2023, based on the government's budget plan for 2023.
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