The Dutch Competition Authority, ACN analogous to the U.S. FTC, has sanctioned three major egg processors for collusion. The companies Interovo, Wulro and Global established a cartel and arranged prices to the disadvantage of independent farmers who were underpaid as a result of the activities of the packers. The arrangement among the processors was initiated in 2015 and involved communication, setting of prices, exchanging proprietary information.
The Chairman of the regulatory body, Martijn Snoep, stated, “They damage farmers who ended up getting a lower price for their eggs. We had to take tough action against buyer cartels.”
An interesting aspect of the case is that a court order restrained the ACN from announcing the magnitude of the fines in a decision handed down on May 8th. This decision is not subject to further appeal. The processors concerned will, however, be subject to increased scrutiny. According to the press release by the Consumer and Marketing Authority, there was no mention of compensation to farmers.