Cartel agreement of cattle breeding comopanies
“The cartel agreement led to unification of prices for these products and of course had a negative impact on cattle breeders, who had only limited choice of product from the view of price and quality. We cannot exclude that the price agreement in its final consequence also led to unnecessary increase of prices with negative impacts on final consumer. The cartel agreement and its effects related to the whole republic and the competitors together covered market share exceeding 50%,” said the Chairman of the Office, Mr. Josef Bednář.
The highest fine of half a million Czech crowns has to be paid by company Holding Českomoravská plemenářská unie, k.s., and the other sanctions are as follows: Jihočeský chovatel, a.s. – CZK 300 000, REPROGEN, a.s. – CZK 300 000, PLEBO BRNO, a.s. – CZK 300 000, AGRO – Měřín, a.s. – CZK 300 000, Plemenáři Brno, a.s. – CZK 270 000, CHOVSERVIS, a.s. – CZK 300 000, PLEMENÁŘSKÉ SLUŽBY, a.s. – CZK 300 000. The above-mentioned companies performed the anticompetitive conduct in years 1998-2001 (with the exception of company Plemenáři Brno, which performed the conduct only till the end of 2000).
The Office initiated the investigation of the case on the basis of its own initiative, when, in relation to another investigation, it succeeded in securing direct written evidence on co-ordination among the above-mentioned undertakings. “Conclusion of the cartel agreement was realised both on the basis of contracts including prohibited agreements and in form of concerted practices. It results from the minutes of the undertakings´ negotiation that they were making arrangements on prices”, added the Chairman of the Office, Mr. Josef Bednář.
Press and Information Department
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