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Competition Commission launches inquiry into food prices in South Africa

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STAFF WRITER

THE Department of Trade and Industry and Competition has gazetted the terms of reference for a wide-reaching market inquiry related to the fresh produce market in South Africa, including prices.

The inquiry, conducted by the Competition Commission, will investigate market conditions all along the fresh produce supply chain in the country, looking for any indications of uncompetitive behaviour or price fixing.

The process will commence 20 days after the gazette is published – thus at the start of March 2023.

The commission said that the Fresh Produce Market Inquiry (FPMI) will consider if adverse effects are present in the fresh produce value chain arising from any feature or combination of features that impedes, restricts or distorts competition.

It said that concerns around the fresh produce market were raised during the Covid-19 pandemic, with various reports and findings of uncompetitive and unfair pricing in the sector.

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