Implementation of product labeling projects to be decided after comprehensive discussion — Zhumangarin

The current status of commodity marking, the prospects for development and the main objectives in this area were discussed by the representatives of the Ministry of Trade and Integration and the single operator of commodity marking and traceability Kazakhtelecom JSC at the working meeting chaired by the Deputy Prime Minister, Minister of Trade and Integration Serik Zhumangarin.

The work on implementation of digital marking and traceability of goods in Kazakhstan started in 2018 in order to ensure free and legal circulation of goods, balanced trade and fair competition.

Mandatory labeling has been introduced for four commodity groups: fur products, tobacco products, footwear products and medicines. Pilot projects on packaged water, sugar-containing drinks and jewelry are in the works. In 2021, the pilot project for labeling certain light industry products was completed and a regulatory impact analysis is underway. The decision to introduce a mandatory labeling in the country is taken on the basis of successful pilot projects in coordination with the NCE Atameken and in the absence of negative social and economic consequences.

According to data, announced at the meeting by a representative of Digital Economy Development Center LLP, currently more than 38 thousand participants are registered in the labeling system, and 3.3 billion Data Matrix codes have been issued. According to the State Revenue Committee of the Ministry of Finance of the Republic of Kazakhstan, mandatory labeling of furs allowed to identify violators of tax laws, taxpayers, understating their income in order to apply the threshold for a special tax regime for preferential tax treatment.  As a result, the number of entrepreneurs operating on the basis of a patent has decreased by 13 times. However, the lack of control, traceability and administrative responsibility led to a decrease in the dynamics of shadow turnover. To solve this issue the state authorities are working on making appropriate changes to the Code of Administrative Offences.

"I consider the main task of implementation of the project of marking of goods to be, first of all, creation of instrument of protection of domestic consumers. For this we need to listen to the opinions of all interested participants, to meet with industry associations. Only after a comprehensive discussion, decisions will be made," Serik Zhumangarin summarized.

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