UAE: Minimum of Dh10,000 fine announced for violations of price hike rules for eggs, poultry

The UAE’s Ministry of Economy on Tuesday warned that it would impose fines of no less than Dh10,000 on retailers and suppliers for raising the prices of eggs and poultry products by more than 13 per cent.

But the penalty will be increased up to Dh200,000 for repeat violations.

Last month, the UAE’s Ministry of Economy said it is working on updating federal law No. 15 of 2022 on consumer protection, which will have much more details — including specific penalties for retailers and other establishments violating the consumers’ rights. The details about the violations and penalties will be released in the coming days.

This decision has been taken to maintain a fair and balanced relationship between suppliers and consumers and ensure market stability. Recently, the ministry allowed retailers to hike the prices of eggs and poultry products by up to 13 per cent in line with the increase in prices of raw materials and higher costs of imports.

To keep prices in check and ensure they won't go higher than the 13 per cent limit, inspectors have been going around grocery stores, egg and chicken markets, and cooperative societies across the country. During the holy month of Ramadan, around 300 inspections were carried out.

Top local government officials said they are working closely with the MoE in carrying out inspections. During these field visits, a number of establishments have already been fined for price hike violations.

Salim Al Suwaidi, deputy director of the Commercial Control and Protection Department in the SEDD, said the department has intensified its inspections of the emirate's markets. A top official at Ajman Economic Development Department said that their consumer protection section has also ramped up compliance checks.

In 2022, 94,123 inspections were conducted, which found 4,227 violations. In 2023, the number of inspections during the first few months of 2023 stood at 8,170, which resulted in recording 1,030 violations.

List of prices

The MoE has released a list of around 365 egg and poultry products, with the approved prices for each. This document is available for download from the ministry's website, and it will be published in media outlets.

Consumers are urged to report any price difference they spot at supermakets and other retail outlets. They may call the authorities at 8001222.

Sharjah residents who wish to report price irregularities may contact the SEDD at 80080000 or by visiting www.sedd.ae. Those in Ajman may reach out to the emirate's economic department at 80070.

The ministry also called on sales outlets and suppliers in the country to abide by consumer protection legislation, and maintain the quality and safety of commodities and food products.

The temporary price hike was a decision taken based on a request submitted by a number of companies operating in the sector, noting the losses they had incurred due to high production and shipping costs and an increase in prices of imported raw materials like fodder, according to the MoE.

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