Ministry of Economical Development prepared a negative conclusion of an in initiative of Department of Alcohol Regulation of Russia to limit retail price of sparkling wines. The Ministry has found that such decisions are out the competence of the Federal Department and are excessive. The DAR from its side appeals to the market players' support and wants to agree the project before the end of the year. DAR published a project of a law limiting the minimal retail price to sparkling wine on the 5th of October 2012. According to it the factory-outgoing price of a bottle of 0,75l should not be less than 95 rubles, wholesale price limit is 104,5 rubles, and the retail rate is 115 rubles. The necessity of such a law is provoked by excess of non-qualified sparkling wine in the market. The association of Producers of Sparkling Wines reports, that the share of sparkling wine not corresponding quality standards is over 25%. Pavel Titov, the President of the Association during an interview to RBK-daily called the situation unique as there is not disagree between the majority of producers and the regulative organ. According to the opinion of Evgeniy Kalabin, executive director of TH Moscow Wine Factory, the retail price of 115 rubles let a legal producer have profitability at the rate of 5%: «There are producers launching to the market a cheaper products of bad quality. If you calculate, the result will be strange – a standard bottle, similar excise, production costs are almost the same but the final price is so different. Pour into the bottle». However, this agreement between producers and regulation organ wasn't enough to find support from the Ministry of Economical Development. The 16th of November, during a meeting in DAR, the representatives of the Ministry declared that the project would be declined. The position of the Ministry was officially published as a negative conclusion at the official site of ministry called “The evaluation of the regulative effect of the order of DAR to limit the retail price of sparkling wine”. Source - upakovano.ru