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South Africa: Coffee producer fined for price fixing

By  |  March 25, 2018

The South African Competition Tribunal announced on Friday, March 23, Secret River Trading (trading as Caffeluxe) had admitted to fixing the prices of coffee capsules to retail customers.

The nation’s Competition Commission said it had emerged that Caffeluxe threatened to not supply to wholesaler Global Coffee after a discount it made to Checkers Stores in 2014, if Global Coffee did not increase its price to the agreed shelf price.

The Commission initiated a complaint on 29 July 29, 2015.

The Commission said, “In terms of an agreement in effect between 2013 and May 2014, Global Coffee was precluded from undercutting Caffeluxe when selling coffee capsules to grocery retail outlets.”

Caffeluxe has admitted to the contravention and will pay an administrative penalty of 750,000 South African Rand (US$63,789), payable in tranches.

The Commission said it is not seeking any relief against Global Coffee Export.

Full Content: Independent Online

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