PlanetRetail.net

In a dramatic turn of events in Thailand, the military backed government has threatened larger retailers, mostly foreign owned groups, with prison terms of up to three years or fines up to THB6 million (USD156,193) in a bid to slow down expansion plans and protect smaller stores. Karun Kittisataporn, the ministry's secretary general, said it had drawn up guidelines banning big supermarkets from selling goods at 'unfairly low prices' and giving too large discounts to shoppers. If giant retailers fail to comply with the guidelines, they could face either jail terms for company representatives or fines or both, Karun said. While the guidelines are set to take effect next week, they lacked numerical details. The commerce ministry and major retailers were scheduled to hold talks today