Legislative intervention in the market does not always consider its real economic impact, and excessive or unpredictable regulation can weaken trust across the entire retail ecosystem, according to George Badescu, Executive Director of the Romanian Association of Large Retailers Networks (AMRCR).

Speaking at the Future Retail & FMCG Forum organized by The Diplomat-Bucharest, Badescu emphasized that trust is not only a consumer sentiment but a fundamental condition for healthy market functioning.

“The impact of certain legislative provisions is not always fully assessed. Trust also means trust in the market. It means a positive mindset, where consumers feel comfortable making purchases and responding to commercial offers. Predominantly negative messages create a general state of uncertainty. And when trust is missing, solutions become very difficult to achieve,” he said.

Key statements

• The supply chain must function efficiently for all participants — producers, distributors, retailers, and ultimately consumers — who should benefit both from strong product availability and competitive shelf prices.
• Romania’s retail market is highly competitive, with several major players. This competition primarily benefits consumers through better pricing, assortment, and services.
• In recent years, constant legislative changes have repeatedly affected the sector. Market intervention is often seen as a quick fix for supply chain issues, but it can generate unintended consequences.
• The ongoing flow of regulatory changes creates confusion and additional complexity, especially when combined with other pressures, ultimately feeding a broader sense of uncertainty.
• Lack of trust leads to reduced predictability and weaker business relationships. Instead of undermining partners, companies should aim for long-term, value-creating collaborations.
• Continuous intervention in the market lowers the chances of achieving optimal supply chain efficiency and balanced commercial relationships between stakeholders.
• Greater openness to technical and pragmatic solutions could help Romania unlock its potential to become a major agri-food power in Europe.
• The share of Romanian products on shelves has increased significantly, reaching an average of about 70%, and for certain categories during peak local production periods, it can even reach 100%.
• Romania remains a price-sensitive market, with consumers who are highly demanding when it comes to value for money.

Badescu concluded that stability, predictability, and cooperation between authorities and businesses are critical to strengthening the retail sector and ensuring that the entire ecosystem — from producers to shoppers — benefits from sustainable growth.