180 proceedings in competition-restricting practices, nearly 1300 decisions concerning control of concentrations and over 100 market analyses – these are results of actions undertaken by antitrust authorities of EU member states on food markets in the years 2004-2011. The European Commission published a report in this scope. Poland is in the lead of countries where food market inspections are most frequent

Thereport was compiled by the European Competition Network (ECN), which brings together the European Commission, antitrust authorities of EU member states and EFTA. The document provides information on actions by ECN members in the food sector, from food production to retail level. Moreover, it contains proposals for legal and structural changes.

The document clearly demonstrates that nearly half of prohibited practices concerned unlawful agreements concluded between competitors. The contested practices were identified as the abuse of a dominant position and collusions between undertakings operating at different level of economic process (e.g. a producer and distributor) – ca. 20% respectively. Irregularities regarded, in particular, these undertakings dealing with food processing who were much ahead of other companies active on retail market.

Authors to the report also took into examination the impact of anticompetitive practices on the increase in food prices. They emphasize that other factors, such as natural disasters, increasing energy, petrol and labour costs, may have a significantly greater influence on rising prices.

Furthermore, the authors pointed in the document the less favourable position of food producers, in particular, farmers against undertakings operating at the further level of the food supply chain. The creation of cooperatives might work here as a remedy.

Additionally, the report presents initiatives of UOKiK. The Polish antitrust authority carried out 13 sector inquiries, including soft fruit trade, beer, spices, mineral waters, ice-cream, pork livestock, or food intended specifically for infants, compared to France which as the only country carried out more tests (16) in the years 2004-2011. Moreover, several decisions concerning competition-restricting agreements were issued – one regards the collusion of Koral and Żabka, where companies fixed ice-cream resale prices in the chainstore. The decision is not final.

Similarly to other countries, UOKiK was focused mainly on food and agriculture markets, and conducted proceedings in control of concentrations. The Office considers several cases regarding this sector each year (e.g. 15 in 2011). Most frequently, such proceedings are concluded with granting a consent to perform a transaction.

The whole report is available on the website of the European Commission.

Participation of UOKiK in the European Competition Network is one of initiatives undertaken by the Office of Competition and Consumer Protection at cross-border level. Another action of great significance to competition protection will be hosting in April 2013 the 12^th annual International Competition Network (ICN) conference.

See also:

• European Commission - Press release

Additional information for the media:
Małgorzata Cieloch, Spokesperson for UOKiK
Department of International Relations and Communication
Pl. Powstańców Warszawy 1, 00-950 Warszawa
Phone: +48 22 55 60 106
Fax: +48 22 826 11 86
E-mail: [SCODE]bWFsZ29yemF0YS5jaWVsb2NoQHVva2lrLmdvdi5wbA==[ECODE]