In light of the Egyptian Government's endeavors to control markets and commodity prices, on December 30, 2023, the Egyptian Prime Minister issued Decree No. 5000 of 2023 (the "Decree") labelling some commodities as strategic products in accordance with the application of the Consumer Protection Law No. 181 of 2018 (the "Law").
By virtue of the Decree, the indicated commodities are prohibited to be withheld from circulation, whether by concealment thereof, not putting them up for sale, refusing to sell them, or by any other means.
In addition, the Decree stipulates that the holders of said commodities (for purposes other than personal consumption) including producers, suppliers, distributors, and sellers are obligated to immediately inform the competent Directorates of Supply and Internal Trade about the types and quantities of such commodities stored in their possession. The said commodities include Blended Oil, Broad Beans, Rice, Milk, Sugar, Macaroni, and White Cheese.
Furthermore, the Decree imposes penalties on anyone who violates its provisions in accordance with the penalties stipulated in the aforementioned Law. The said penalties include imprisonment for a period not less than one year, along with a fine not less than one hundred thousand Egyptian Pounds (EGP 100,000) and not exceeding two million Egyptian Pounds (EGP 2,000,000), or the equivalent value of the commodities subject to the crime, whichever is greater.
In addition, on December 31, 2023, the Ministry of Supply and Internal Trade issued Decree No. 200 of 2023 (the "MSIT Decree"), which determines the controls and procedures for trading products and commodities, regarding which the aforementioned Decree was issued. The MSIT Decree obliges companies and establishments that produce, import, manufacture, package and supply the aforementioned commodities to issue tax sales invoices that includes data indicating the type of product or commodity and its quantities, the date of production, the factory selling price and the maximum final selling price to the consumer. In addition, the MSIT Decree prohibits (i) manipulation of the price indicated on the product or commodity, and (ii) selling a product or commodity for more than the final maximum selling price indicated on the product.
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