KUALA LUMPUR – Five companies accused of forming a “chicken cartel” to fix prices will have their explanations heard by the Competition Commission (MyCC) this month, with a verdict issued later this year.
The Domestic Trade and Cost of Living Ministry said the five companies had submitted their written representations to MyCC on January 31, and the commission is to hold a hearing this month.
“After that, MyCC is expected to make a final decision on the matter in the third quarter of this year,” the ministry said in a parliamentary written reply.
The reply was to a question by Muhammad Ismi Mat Taib (Parit-PN) who asked about the ministry’s efforts to abolish “cartels” in the food sector to prevent profiteering.
In August last year, MyCC announced the five companies as Dindings Poultry Development Centre Sdn Bhd, FFM Bhd, Gold Coin Feedmills (Malaysia) Sdn Bhd, Leong Hup Feedmill Malaysia Sdn Bhd, and PK Agro-Industrial Products (M) Sdn Bhd.
This followed investigations under the Competition Act 2010. It was found that the five companies, which are the country’s biggest chicken producers, had violated Section 4 of the act which pertains to agreements between businesses with the goal or effect of preventing, restricting, or distorting competition in any market for goods or services.
In previous media reports on the matter, the five were said to have agreed to raise the price of poultry feed which then led to higher chicken prices.
The five companies had initially been given till October 21 last year to submit their written representations to the accusations, but the deadline was extended to December. – The Vibes, March 23, 2023
.jpeg)
.jpg)
