Reasons for Proposal
The Distribution Industry Development Act, which was enacted against the opening of the distribution sector that was driven by the WTO in the 1990s, has focused on promoting large retail stores as a means of promoting and vitalizing the domestic distribution industry, but social costs of conflicts continue between large, medium, small-sized stores and between regions surrounding large distribution companies such as multi shopping malls and SSMs opening large stores.
The Distribution Industry Development Act is changing its nature focusing on regulation to resolve the conflicts between large, medium, and small-sized stores, and disagreements over the Act’s jurisdiction between the Ministry of Trade, Industry and Energy and the Ministry of SMEs and Startups are also growing.
Therefore, since the distribution law scheme with the nature of the Promotion Act alone is not enough to promote a sound distribution industry and develop the small and medium-sized distribution industry, it is desirable to maintain the current Distribution Industry Development Act under the Ministry of Trade, Industry and Energy as a distribution industry frame act and to enact a separate law containing comprehensive contents for the protection and promotion of small and medium-sized retailers as the law governed by the Ministry of SMEs and Startups.
Details
A. Require the Minister of SMEs and Startups to establish a basic plan for the protection and promotion of small and medium retail businesses every five years in consultation with the heads of the relevant central administrative agencies (Article 5).
B. When drafting an Urban and Gun management plan that includes building a facility for superstores, etc., require that consideration be given to the impact of the facility on the sales and business environment of small and medium-sized retail enterprises and that their opinions be heard, and require reviews by the urban planning committee to determine whether the facility violates the above impact related standards (Article 7).
C. Despite the restrictions on the construction of buildings in Article 76 of the National Land Planning and Utilization Act, separately prescribe the establishment of superstores, etc., exceeding 10,000 square meters in the municipal ordinance (Article 8).
D. Allow all or part of a commercial area to be designated as a small and medium-sized retail business protection area if deemed necessary to protect the business environment of small and medium-sized retail entities (Article 9).
E. Prohibit the establishment of superstores, etc., with a total area of stores exceeding 10,000 square meters in small and medium-sized retail business protection areas (Article 10).
F. For superstores, quasi-superstores, and multi shopping malls, exceeding a certain area, operated by an affiliate of a business group subject to limitations on cross-shareholding, allow the head of a local government to order mandatory closures by implementing a limit of business hours or specifying mandatory holidays (Article 11).
G. Have those prescribed by Presidential Decree, such as large retail enterprises that have opened superstores, etc. in the district formed by the distribution industry co-prosperity and development council and small and medium-sized enterprises in the district enter into an agreement for win-win cooperation (Article 12).
H. Allow online intermediary service providers and small and medium-sized retail enterprises using online intermediary services to enter into an agreement for win-win cooperation (Article 13).
I. Where small and medium-sized retailer organizations jointly establish or operate common logistics centers for small and medium-sized retailers to improve their competitiveness, allow the provision of necessary administrative and financial support (Article 15).
J. Allow those who do wholesale/retail/service business or any other business in a shopping district to form a shopping district promotion association for the promotion of the shopping district, and allow the head of the local government to provide the necessary funds for the promotion of such association within the budget (Articles 16 and 17).
L. If a person who meets the criteria prescribed by Ordinance of the Ministry of SMEs and Startups intends to establish a specialty shopping complex as a cooperative/business cooperative/cooperative association or the Korea Federation of SMEs consisting of wholesalers or retailers, allow provision of necessary administrative and financial support (Article 18).
Note
This Amendment rests on the premise that the National Land Planning and Utilization Act (Bill no. 2100629), represented and proposed by National Assembly member Park Hongkeun, is passed. If the bill is not passed or is passed with modification, this Amendment must be adjusted accordingly.
