Friday 18th November 2011 3 Comments |
Text too small? |
Zespri International, the world’s largest marketer of kiwifruit, has been fined half a million dollars for anti competitive behavior in the Korean market.
The Korean fair trade commission (KFTC) fined the company yesterday for hindering the domestic sale of kiwifruit. The commission found Zespri signed a sales contract with E-Mart, the nation’s number one supermarket chain, not to sell cheaper Chilean kiwis. A similar deal was made with Lotte Mart, Korea’s number three supermarket player.
“The distribution of cheaper Chilean kiwis at major retail chains would prompt price competition within the industry,” said a KFTC official. Instead, the Zespri contracts resulted in New Zealand kiwifruit prices rising 13 percent in the Korean market.
In a statement released today Zespri confirmed it had adjusted “certain business practices in Korea” and it was found to have “wrongly sought favourable positioning in the Korean market.”
The company’s communications advisor David Courtney said, the KFTC will release its full decision in two weeks and no comment would be made before then.
Zespri has statutory monopoly on the export of kiwifruit produced in New Zealand.
BusinessDesk.co.nz
EBOS announces appointment of new Chief Financial Officer
AM Best affirms Tower Limited's A- (Excellent) FSR
MCK enters into conditional agreement for Whangarei land
April 26th Morning Report
SPG - Change to Executive Team
BGI - Forgiveness of $200,000 of secured indebtedness
General Capital Subsidiary General Finance Market Update
AFT,Massey Ventures,Gilles McIndoe to develop scar treatmen
April 24th Morning Report
Cheers to many fewer grape harvest spills