LOWER HOUSE CLOSES DISCUSSION ON PRICE CONTROL BILL

ZAGREB, 11 Dec (Hina) - The House of Representatives on Wednesday discussed a bill on the system of price control. Explaining the bill, Deputy Economy Minister Jasna Boric said that price control measures would be used only as an exception - in cases of a larger imbalance on the market and in cases when it is necessary to prevent monopolistic behavior. Those measures can be direct (for example, setting the highest price level or approving the prices) and indirect (sending price- lists after a change in prices). Control measures, Boric said, can be prescribed by the Government and in some cases by the units of local self-government and administration. During the five years of Croatian independence, the Government has resorted to price control only three times - in 1991 and 1992 in prices of bread and in 1996, when it introduced a temporary measure of returning prices of oil derivatives to their previous level. 'Despite difficult war circumstances the Government did not decide to use control measures and it does not intend to either', Boric said. The House of Representatives also closed a discussion on amendments to the Law on Incentives and Compensations in Agriculture and Forestry. (hina) rm jn 111837 MET dec 96