adminThe commission instituted investigations into the cases between October and December last year.
CTC assistant director Mr Benjamin Chinhengo said the case against the bread-making industry would be heard on March 26 while those against Innscor and private abattoirs would follow. He, however, did not disclose the dates for the other two hearings.
“Submissions were made and they are now being dealt with by our legal team. At the moment, I cannot say exactly when the case against Innscor and private abattoirs will be heard, but it will be after March 26,” he said.
CTC launched an investigation into the local bread industry for possible price collusion last year in October. Consumers also alleged that bakers had allegedly compromised on the quality of bread to maximise returns.
Bakers had raised the price of the commodity by up to 10 percent in response to an increase in the price of flour following an 85 percent spike in the global price of wheat in August.
On the other hand, Innscor, which has a stake in a dozen renowned companies under its ambit, was accused of suffocating many businesses out of the food industry. The corporate giant has a stake in concerns such as National Foods, Colcom, Irvine’s Chickens, Baker’s Inn, Chicken Inn, Nando’s, Spar supermarkets, SavMor supermarkets, Freshpro, Iris Biscuits, Capri and TV Sales & Home.
Mr Chinhengo is on record as saying the probe was triggered by a plethora of complaints lodged by affected companies and observations by the CTC.
After the public hearing, the CTC can impose penalties against Innscor that include a fine, as well as making recommendations in favour of the aggrieved companies. The case against private abattoirs was that they were opening their own retail outlets and selling beef directly to individuals at the same price that they charge to the butcheries and other bulk buyers.
Analysts believed the practice could push the small retailers out of business.
Butcheries were selling beef at an average price of US$5,80 per kg while abattoirs, on the other hand, were allegedly selling beef to wholesalers and other bulk buyers for an average of US$4,80 per kg, the same price they were reportedly also charging in their retail outlets.
The mandate of the CTC is to ensure the promotion and maintenance of the competition and fair trade in the economy and also the prevention and control of monopoly situations.
The commission is also involved in the investigation of restrictive and unfair trade practices hindering the growth of domestic industry.
Online Reporter