The Competition Protection Committee (PSC) carried out surprise inspections in offices and premises of dairy/cheese products companies and the Cyprus Cheesemakers Association for possible violations of Cypriot and European legislation. The audit is being carried out in the wake of statements by the Minister of Agriculture, Costas Kadis, regarding the incorrect operation of the competition in the production of halloumi. The Cyprus Cheesemakers Association has rejected Kadi's statements.
Companies and the Association are prosecuted for violations of Article 3 (1) of the Law and Article 101 of the Treaty on the Functioning of the European Union.
Article 3 prohibits agreements between undertakings, decisions of associations of undertakings and any concerted practice which has as its object or effect the obstruction, restriction or distortion of competition within the Republic. Article 6 (1) prohibits the abusive exploitation by one or more undertakings of a dominant position which holds or holds in whole or in part of the domestic market of a product.
decisions of associations of undertakings and any concerted practice which is likely to affect trade between Member States and which has as its object or effect the prevention, restriction or distortion of competition within the internal market.
The PSC shall state in a statement that the sudden on-the-spot inspection was carried out in the context of the PSC's ex-officio investigation of dairy/cheese companies, as well as of all companies directly or indirectly controlled by them or directly or indirectly directly or indirectly related to them (parent/subsidiary/affiliated) and the Cheesemakers Association, in relation to the possibility of a partnership and/or partnerships between companies operating as dairies/dairies and/or business associations and the Cyprus Cheesemakers Association in the manufacturing market/processing/processing of fresh sheep and goat milk, supplied by livestock – sheep and goat farms, which is alleged to have as its object or effect the obstruction, restriction or distortion of competition within the Republic.
On-the-spot checks took place on 23/05/2022 and continue today.
The Commission's Office was accompanied by Officers from the IT Services Department during the on-the-spot inspection.
seeks only to gather the information required for the purpose of conducting an appropriate investigation, in accordance with the Commission's powers and responsibilities for the implementation of competition law.
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