Bélgica: The Competition Authority intervenes in the pricing of potatoes
The price of potatoes will now be established more objectively. The Competition Authority (ABC) has in fact looked into the way in which the price of potatoes was determined by the sector federation Belgapom.
This produces a price index on a weekly basis through its "Price Commission", thus reflecting the purchase price most frequently observed on the physical market for certain varieties of potatoes suitable for processing into frozen derivative products.
The ABC launched an investigation following a request from outgoing Agriculture Minister David Clarinval. "There were fears that members of this price commission would adapt their behaviour among themselves in order to keep the price as low as possible to the detriment of farmers," explains ABC Auditor General Damien Gérard.
According to the Authority, the Belgapom federation itself proposed commitments in order to make the development of the rating more objective and anonymous. The ABC "considers that the proposed commitments (...) are proportionate and sufficient to address its concerns". They therefore become binding.
Fuente: msn.com
