19 november 2009

First Deputy Prime Minister Viktor Zubkov chaired the first meeting of the Government Commission for Alcohol Market Regulation

Participants:
“The situation in this market is not simple. A large portion of alcohol sales are outside government control. The damage inflicted by illegal alcohol is obvious, be it on people’s health or on the budget,” said Mr Zubkov.

"The situation in this market is not simple," said Viktor Zubkov, opening the meeting. "A large portion of alcohol sales are outside government control. The damage inflicted by illegal alcohol is obvious, be it on people's health or on the budget."

"We must adopt effective measures to stop the sale of illegal alcohol entirely, increase penalties for violations in this area, draft an rational and predictable policy on excise rates, and, most importantly, work to reduce the population's dependence on alcohol," emphasized Mr Zubkov.

Mr Zubkov recalled that the Federal Service for Regulation the Alcohol Market, which was established at the beginning of this year, already has significant operations and "is bringing all areas of the alcohol market under its control."

Following the discussion, the Commission approved a plan of action to regulate the production and sale of alcohol, which will involve carrying out the relevant instructions of the President and the Prime Minister.

The plan provides, for example, before July 1, 2010 for restricting the retail sale of alcohol, toughening licensing requirements for transport operators and producers of alcoholic products, punishing criminal and administrative violations regarding the production and sale of alcohol, and changing tax legislation to increase excise revenue.

The Commission approved most of its plans for the first half of the next year. "The situation calls for intensive efforts on our behalf, and will require the Commission to meet on a monthly basis," said Mr Zubkov in conclusion.