Haribo fined for anti-competitive exchange of information

Today the Bundeskartellamt has imposed fines totalling approx. 2.4 million Euro on the confectionery manufacturer Haribo GmbH & Co. KG, Bonn and its sales representatives involved, for exchanging competitively relevant information.

Investigations are still ongoing against two other branded confectionery manufacturers. The proceedings were triggered by a leniency application filed by Mars GmbH, Viersen, against which no fine was imposed in accordance with the Bundeskartellamt's Leniency Programme.

Andreas Mundt, President of the Bundeskartellamt: "Certain types of information exchange between competitors are inadmissible under competition law. Competition is impaired by such practices, even if they are not classical hardcore agreements about prices, supply areas, customers or quotas."

In 2006 and 2007 senior sales staff of the four companies involved regularly met for informal discussions. In so-called "four party talks", the responsible Haribo sales representative participated in the reciprocal exchange of information on the state of negotiations with various major retailers. In this way the companies involved gained knowledge of demands from the retail trade for rebates from the other confectionery manufacturers represented in the talks as well as information about how the manufacturers had reacted or intended to react to these demands. This type of information is usually treated by companies with strict confidence, and has influenced the companies' own market conduct in the negotiations.

In calculating the fine the Bundeskartellamt took account of the fact that Haribo had cooperated with the authority in clarifying the facts of the case. The proceeding was ended by way of settlement.

The order to impose the fine is not yet final and can be appealed to the Düsseldorf Higher Regional Court.