Ukrainian Premier Mykola Azarov has ordered Economic Development and Trade Minister Ihor Prasolov to finish the elaboration of a draft law on domestic trade.

Opening a cabinet meeting on Wednesday, he said that the document is first to remove existing disproportions that hinder the development of the domestic market in the country.

"Why is this law so important for us? The obvious disproportions in trade hinder the development of the domestic market and violate the rights and interests of buyers, producers and sellers, especially representatives of small- and medium-sized businesses. The work on the draft law on domestic trade should be accelerated and get support from the public. I order the economic development and trade minister to finish the work within one month," the premier said.

Azarov also said that soon he plans to personally discuss the key clauses of the document with the Entrepreneurs' Council at the Cabinet of Ministers of Ukraine.

The prime minister said the domestic market is too friendly to imported FMCG in many cases, and that he believes that it is unacceptable that some owners of trade space set rent rates for domestic producers too high compared to the resellers of imported goods.

Azarov said that incentives for the development of modern trade in rural areas should be created, and the setting of inflated markups should be prevented.

As reported, draft law No. 9443 drawn up by the government was registered in the parliament on November 10, 2011. However, due to the large number of errors and conceptual conflicts with the key principles of the development of trade in Ukraine it was not passed by the parliament of the previous convocation.

According to the State Statistics Service of Ukraine, the share of sales of consumer goods made in Ukraine via retail chains in 2011 stood at 61.9% (60.3% in 2010). In particular, the share of foodstuff was 87.2% (88.2% in 2010) and the share nonfoods totaled 47.2% (50% in 2010).