Colgate-Palmolive, Mars and Nestlé have been fined by the French competition regulator for price fixing of pet food. The regulatory group fined the companies €35.3 million in total this week.
The decision by the Autorité de la Concurrence stated that the three multinationals had engaged in restricted practices on wholesalers selling dry biscuits to specialist shops during the period 2004 to 2008. Prices were raised for consumers, who tended to be loyal to the brand. The regulator said this made them particularly vulnerable. The three manufacturers produced 70 per cent of dry pet snacks in specialist shops, said the regulator, with dry snacks making up 70 per cent of pet food sales in the country.
Nestlé (Switzerland) was fined €19 million, Colgate-Palmolive (US) was fined €4.7 million and the Mars Group (US) was fined €11.6 million. The regulator explained that the penalty for Nestlé and Mars was reduced because they did not dispute the case. (21 March)
© 2012 ESM: European Supermarket Magazine
