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Key facts

Large consumer goods manufacturers are preventing retailers and wholesalers from sourcing products where they wish in the Single Market. Their use of restrictions known as Territorial Supply Constraints (TSCs), stop retailers being able to get the best deal for consumers that could help bring down prices.

At a time when consumers need to make savings, the cost of this behaviour is more than €14 billion. After 30 years of the EU Single Market and as many consumers struggle to cope with the cost-of-living crisis, it is high time for the European Commission to act to help retailers achieve better deals for consumers and create a #SingleMarket4All.

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The problem

Large consumer goods manufacturers are denying retailers the advantages offered by the Single Market.

These Territorial Supply Constraints (TSCs) stop retailers having the freedom to source where they want to in the Single Market.

This means some EU consumers are paying more for the same everyday products such as detergents, cosmetics, sweets and beverages compared to those in a neighbouring country or simply cannot find certain products in their shop.

Studies estimate that this is costing consumers €14 billion.

The solution

We ask the EU Commission and member states to take decisive action to make Territorial Supply Constraints history, by:

  • Making better use of competition enforcement measures (e.g. through investigations like that into AB Inbev’s deliberate strategy to fragment the beer market).
  • Declaring as not acceptable the practices that artificially segment the Single Market and prevent the circulation of products across borders; building on the findings of the AB Inbev case, the Commission study of TSCs and the vertical guidelines.
  • Monitoring the progress in stopping TSCs through an annual review process.

What you can do

After 30 years of the EU Single Market, and a severe cost-of-living crisis,

it is high time for the European Commission to act and create a #SingleMarket4All.

Use our template letter to demand action or simply retweet or repost our message and like our video on YouTube.


Further information

 

 

 

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