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Türkiye prepares new wholesale market law

Türkiye is preparing to introduce a new wholesale market law for the fruit and vegetable trade, replacing the current framework enacted in 2012. Lawmakers are expected to review the draft in the next parliamentary term. The government has presented the reform as a tool to address high prices and supply chain inefficiencies.

Producers have argued that they are exposed to predatory practices, with buyers sometimes agreeing to low-price deals and later withdrawing without honoring commitments. To address this, the draft law will require all fresh produce transactions to be registered and traceable, supported by bank documentation. Advocates believe this will reduce fraud and ensure timely payments, though observers note that effective enforcement will be critical.

A key provision requires supermarkets to procure at least 20% of their fruit and vegetables directly from farmers. The Ministry of Agriculture will oversee compliance and set quotas. While the 2012 law contained a similar clause, its impact was limited by weak standardization and branding. Authorities expect cooperatives and producer associations to play a larger role this time in supporting direct procurement.

The law also seeks to reduce the role of intermediaries, who have been blamed for widening the gap between farmgate and retail prices. Many operate informally, bypassing wholesale markets. The revised framework aims to streamline trade flows from farmer to wholesaler to retailer. Retailers, however, highlight that intermediaries often ensure steady supply and uniform quality, and their full elimination remains unlikely.

For consumers, experts caution against expecting immediate price decreases. Fruit and vegetable prices will continue to depend largely on production levels and weather conditions. The expectation is that the reform will bring more transparency and slow the pace of increases rather than reduce prices in the short term.

The draft also includes support measures for producers, such as assistance with cold storage, transport, and warehouse costs. These tools could allow farmers to delay sales and avoid distress pricing. In parallel, authorities plan stricter penalties for retailers found applying excessive markups. Monitoring at road checkpoints will be coordinated with the Treasury and Finance Ministry to reduce unregistered trade.

The wholesale market reform is presented as a long-term structural measure. While affordability issues for households may persist, the system is expected to become more predictable and transparent. Success will depend on enforcement and cooperation between the state, producers, and retailers.

Source: Turkey Today

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