Romania's president has signed into law legislation obliging supermarkets to sell at least 51 percent locally-produced meat, fruit, eggs and vegetables.

President Klaus Iohannis on Monday enacted the law, approved by Parliament in June, in a move to support Romanian farmers. The measure only applies to food retail outlets with an annual turnover greater than 2 million euros ($2.2 million).

Retailers violating the law can be fined 100,000 to 150,000 lei ($24,600 to $36,800) and can be shut down for repeated violations.

The move has been criticized by the Association of Big Retailers, which say it will lead to price hikes and thousands of suppliers going out of business.

It is unclear whether the law meets market competition rules. The law can be contested at the Constitutional Court.