Is The Confectionary Industry Fixing Prices?

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Photo Credit: Piulet via Compfight cc

 

Possibly, yes.  Canadian authorities have raised charges against Nestle and Mars arising out of allegations the companies have been engaging in the fixing of confectionery prices.  It is also alleged some wholesale distributers were involved or had knowledge of the activity.

 

It is said that Hershey in the United States of America was also investigated but may face a lenient sanction if found guilty as it has co-operated with authorities and assisted the investigation.

 

Mars and Nestle both say they will fight the charges but the true extent of what charges and evidence they will face is not yet known.  Hershey says it will plead guilty to a charge of price fixing from 2007 but nothing further.

 

Price fixing flies in the face of anti-competition legislation as it drives up the prices for consumers against what could occur in a free unaltered market.  Edward Hands & Lewis will be monitoring the case and reporting upon the outcome but if you wish to discuss this article in more detail please contact Paul Stubbs at paul.s@ehlsolicitors .co.uk or on 0116 2665394