• Have farming machines of most popular brands been sold in breach of the fair competition rules?
• President of UOKiK has instigated three preliminary investigations into this matter.
• UOKiK employees have made one of the most extensive searches in the history of the Authority, checking registered offices of 10 entities in total.

UOKiK, with the use of an open-source intelligence, has acquired the information that the sales of farming machines of most popular brands might have taken place by way of infringing the fair competition rules.

- We have instigated three preliminary investigations and had obtained a consent of the court to make searches in the offices of 10 entities and dealers of farming machines. We have gathered extensive evidence which is now being analysed. It is inadmissible both to infringe the competition and to act to the detriment of Polish farmers. Taking account of a number of entities that might have made the infringement and the popularity of the brands sold, it may turn out that in the recent years farmers have been harmed when buying a number of farming machines - says Tomasz Chróstny, President of the UOKiK.

The searches were held as part of three independent preliminary investigations. First one related to the sales of Class brand machines, the other - to New Holland Architecture, Case IH, Steyr Traktoren, while the third one - Massey Ferguson, Fendt and Valtra.

The action suspected by the Authority might have consisted in the market division. This is one of the most detrimental practices limiting competition where entrepreneurs make a division of some specific market areas instead of competing among themselves. In practice it would mean that individual dealers might have been selling machines only to customers residing or running business operations within the area allotted to them. In such situations, a farmer wishing to use the offer of another dealer might have been referred to the one in whose area their farm was located. In such a case, a potential buyer might have received an increased offer so as to get discouraged from buying at a dealer from outside their area. Additionally, UOKiK suspects that entrepreneurs might have agreed on the prices of farming machines and exchange information on their value.

In the course of the investigation UOKiK will check if illegitimate arrangements could have been made and if they have been participated by manufacturers and dealers of farming machines. If UOKiK’s suspicions are found to be true, this would mean that farmers might have been deprived of a capacity to choose a farming machines dealer and paid more for them than under the fair competition rules.

The preliminary investigations are conducted with regard to a specific matter, not against any specific entrepreneurs. If the evidence collected confirms the suspicions, the President of the Authority will initiate antitrust proceedings and bring charges against individual entities. An enterprise involved in a competition-restricting agreement faces a fine of up to 10% of its turnover. The managers responsible for concluding the collusion, in turn, face a fine of up to PLN 2 million.

Severe sanctions can be avoided by taking advantage of the leniency scheme. It offers to entrepreneurs involved in an illegal agreement and to managers responsible for price fixing an opportunity to reduce a fine or, in some cases, avoid it altogether. It is applicable to those who agree to cooperate with the President of UOKiK as a “crown witness” and provide evidence or information on the illegal agreement. Entrepreneurs and managers interested in the leniency scheme are encouraged to contact UOKiK. By calling 22 55 60 555, you will be able to talk to UOKiK lawyers, who will answer all of your questions, also anonymous ones, related to leniency applications.

Do you wish to inform UOKiK about competition restricting practices? Visit konkurencja.uokik.gov.pl/sygnalista/ and fill out a simple form. The pan-European system we rely on ensures full anonymity, also towards the Office itself.

Additional information for the media:

UOKiK Press Office
pl. Powstańców Warszawy 1, 00-950 Warszawa, Poland
Phone: 22 55 60 246
Email: biuroprasowe@uokik.gov.pl
Twitter: @UOKiKgovPL
You can also follow us on Instagram: @uokikgovpl