Prime Minister Kyriakos Mitsotakis' letter challenging territorial supply constraints (TSCs) has been welcomed by the European Commission "as a contribution to the overall reflection on the future of the single market."

Mr. Mitsotakis mentioned the "asymmetric power of some large multinational companies in terms of their differentiated pricing policy vis-à-vis individual member states" in the letter, which was addressed to Commission President Ursula von der Leyen.

A 2020 study by the Commission confirmed the existence of TSCs, which prevent retailers from sourcing goods in the country of their choice. The Commission estimates that TSCs cost EU consumers more than €14 billion a year.

"The Commission proposed to initiate a dialogue between the stakeholders concerned, i.e., international suppliers of branded products, retailers, and consumers, to try to find solutions," the spokesperson said, referring to the Transition Pathway for the Retail Ecosystem that was published in March.