In principle, prices can be set freely.
However the law may set certain prices or provide a pricing framework for certain products under certain conditions.
That is why the prices of certain products, such as oil and petroleum products, are currently regulated.
All traders may freely set their sales prices as they see fit, unless the prices of the products are regulated.
Freedom to set prices
In principle, the prices of goods, products and services are set by free market competition.
Grand-ducal regulations may:
set prices and margins applicable to certain products or services for an undetermined period when free price competition is inadequate because of:
- the market structure;
- customers being unable to benefit from market conditions;
- legal provisions.
temporarily regulate prices (for no longer than 6 months) to prevent their excessive increase or decrease in the event of an economic dysfunctionality of the market caused by:
- a crisis;
- exceptional circumstances;
- an obvious abnormal market situation;
- set maximum prices for oil and petroleum products if no programme contracts concerning the limitation of maximum prices have been concluded with companies from the oil industry.
Products with regulated prices
The prices of the following products are specifically regulated:
- prices of pharmaceutical products are set by Grand-ducal regulation;
- prices of taxi fares are set by Grand-ducal regulation;
- maximum prices for petroleum products are set through programme contracts with companies from the oil industry.
Although their prices are freely set at their release for consumption, tobacco products are subject to excise duties.
They must be sold at the price indicated on the tax stamp.