Mexico: COFECE probes possible manipulation in sugar market

Mexico’s Federal Commission of Economic Competition has launched an investigation into possible monopolistic practices in the local sugar market. According to information provided by the same agency, this would be the second case of infractions in the sugar sector in less than 5 years.

In accordance with the Federal Law of Economic Competition, if there is an absolute monopolistic practice, consisting of illegal coordination between economic agents, they could be fined up to 10% of their income. However, if the recidivism of previously fined companies is proven, the fine could be raised up to twice the corresponding amount.

In the previous case, the plenary session of the COFECE imposed sanctions for a total of $88.8 million Mexican pesos (US$4.5 million approximately) on various economic agents identified as participants in an agreement for exchanging information in order to fix, raise, adjust or manipulate the sale price of sugar. Likewise, individuals who have participated in the creation, execution or ordering of this type of agreement between competitors could face prison, in accordance with the Federal Penal Code, for up to 10 years.

Full Content: CD Noticias

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.