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Russia's Gref says new marketplace rules at hand

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MOSCOW, October 16 (RIA Novosti) - Russia's economics minister said Monday that more stringent general rules for clothes and food marketplaces in Russia are being drafted in cooperation with the Interior Ministry.

"The document is being drafted at the moment along with the Interior Ministry and other colleagues," German Gref said, adding the rules will be compulsory for all the constituent members of the Russian Federation, which could then adopt their own standards on that basis.

The plan is in line with President Vladimir Putin's demand October 5 to curb what he described as the chaos and lawlessness that reign at clothes and food markets controlled by criminal groups.

Speaking at Putin's meeting with the Cabinet earlier Monday, Gref also said a quota of floor space would be reserved for local producers at Russian wholesale and retail markets. A practice, where 20-40% of the trading space is allocated to local producers, already exists in the post-Soviet Commonwealth of Independent States, he said.

Russian Interior Minister Rashid Nurgaliyev said at the meeting that 40 criminal cases were opened in October against ethnic groups squeezing domestic producers and dictating prices at marketplaces by buying up Russian-grown produce. He said police continue to identify such groups.

Nurgaliyev also said fines for employers hiring illegal migrants will increase to 40,000 rubles ($1,500) for private individuals, and to 500,000 rubles ($18,500) for legal entities.

"We need strict control over employers who give jobs to illegal migrants," the minister said.

Many traders in markets across Russia are from former Soviet republics in the Caucasus region and former Central Asian Soviet states, as well as China and Vietnam, and many are in the country illegally.

In early October, Putin ordered the government to introduce quotas on foreign workers by November 15, regulate trade on markets and set the term for the continuous stay of foreigners on visas in the country at not more than 90 days for each six months.

The president's immigration demands came amid an acute crisis with Georgia, its former Soviet ally in the South Caucasus, over a spying scandal involving Russian officers.

Since the scandal in late September, Russia has suspended travel and postal links with the country, shut down at least three casinos in Moscow allegedly owned by the Georgian mafia, arrested Georgian crime bosses and repatriated hundreds of Georgians living and working in Moscow.

Putin said Monday the moves were designed to bring order to the markets and promote Russians' interests, rather than to squeeze foreign-made or -grown products from Russia.

"What is planned is not aimed at closing our markets to foreign products, including those made in former Soviet states," Putin said. "The idea is to bring order to ensure the interests of Russian citizens in terms of the labor market and the quality of products."

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