Panama: Monopolistic Practices in Food Denounced

Four companies are being investigated for possibly having coordinated to manipulate prices in tenders in the dairy drinks market and to have divided up the market by geographical area.

Friday, February 24, 2017

The companies that are being investigated by the Authority for Consumer Protection and Defense of Competition (Acodeco) are Productos Nevada S. de R.L.; Global Products and Logistic Services, Inc .; Industrias lácteas, S.A; Food and Sociedad de Alimentos de Primera, S.A. reports that "...These companies may have coordinated positions in abstaining in public tenders, manipulating and fixing the sale or purchase price of goods and services (fortified milk drinks) and also divided up the existing market by geographical areas (provinces) in the Abbreviated Tenders By Price held by the Ministry of Education (MEDUCA) for the Supply, Transportation, Delivery and unloading on site of Fortified Milk Drinks in the school health nutrition program nationwide for the years 2014 and 2015."

"... Acodeco reported that after due diligence carried out in the offices of companies PRODUCTOS NEVADA S. DE R.L.; GLOBAL PRODUCTS AND LOGISTIC SERVICES, INC.; INDUSTRIAS LÁCTEAS, S.A.; AND SOCIEDAD DE ALIMENTOS DE PRIMERA, S.A., "sufficient documents and information was obtained to establish the possible existence of restrictive practices"."

¿Busca soluciones de inteligencia comercial para su empresa?

More on this topic

Panama: Monopolistic Food Practices Denounced

January 2017

Three food companies are being investigated for alleged monopolistic practices consisting of "establishing, agreeing upon or coordinating bids or abstentions in public tenders".

From a statement issued by the Authority for Consumer Protection and Defense of Competition:

Awards: Milk for $11 Million

March 2015

The Ministry of Education in Panama has awarded contracts for the supply of fortified milk drink for the supplementary feeding program nationwide.

In total three bids were received from the following companies. Products Nevada S de RL, which submitted a proposal for $6.4 million, Sociedad de Alimentos de Primera S.A. in the amount of $8.4 and Industrias Lácteas S.A., for $11.7 million.

Panama: Dairy Market Concentration Approved

May 2013

The Defence of Competition Authority has endorsed the sale of Planta Nevada to the Costa Rican company Dos Pinos.

From a press release issued by Cerveceria Nacional SA:

On Tuesday, May 7 ACODECO, The Defence of Competition (or Antitrust) Authority formally communicated through DNLC-Resolution # 012-13 OGC- the approval of the sale of Planta Nevada, producing milk, juices, and soft drinks, belonging to Refrescos Nacionales S.A. a subsidiary of Cervecería Nacional, to Cooperativa de Productores de Leche Dos Pinos R.L.

Panamanian Poultries in Antitrust Lawsuit

October 2010

The Consumer Protection Authority sued nine of the 14 companies for monopolizing the country's poultry prices.

The lawsuit was filed by ACODECO, the Consumer Protection and Competition Agency, against "Arce Poultry, Chong Poultry, Greece Poultry, Franz Poultry, Melo Enterprises, the National Association of Poultry Producers Panama, the Guayacanes Processing, Products Toledano and Cooperative Juan 23," informed.