Relaxing whilst doing Competition Law is not an Oxymoron

Archive for October 5th, 2012

On the price of beer and bread

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In his post earlier today Nicolas  was whining wrote about the price of beer in Belgian supermarkets (the fact that he complains about the price of beer when he had never complained about actually cartelized products -such as endives- reveals a typical single-man’s pattern of consumption).

Anyway, he fails to see that things could be worse. Below you can see a pic of a beer taken in India a few days ago. The label features (i) an “MRP” or “minimum resale price” ; and (ii) a prohibition to sell the beer in any place other than the Goa area. That’s a possible infringement combo right there!

[P.S: Following the publication of this post our Indian readers have clarified that the M in MRP in reality stands for “maximum” not “minimum”, and that there is an explanation for the market partitioning clause].

Want more? Take a close look at this news:  The All Goa Association of Bakers decides to increase the price of bread.

[P.S. Our Indian readers have confirmed that in this case there is no explanation other than price-fixing].

Good luck to our readers from India, who are making a great effort in fostering a culture of compliance in their country  (way to go!).  The CCI has earned a reputation for investigating Tacit Cartels, but apparently it won’t run out of explicit ones any time soon.

(Thanks to Christian Bulzomi -also the person half-responsible for this– for the great pics!)

Written by Alfonso Lamadrid

5 October 2012 at 12:01 am