East Africa: Comesa Targets Coca-Cola in Anti-Competitive Practices Probe

15 October 2024

Nairobi — The COMESA competition Comission has launched an investigation into alleged anti-competitive conduct by the Coca-Cola company.

This was revealed in a statement on Monday by the Commission's Director and Chief Executive Officer Willard Mwemba.

Mwemba claimed that the Commission "has reason to believe" that Coca-Cola and affiliates in Africa had concluded restrictive bottler's and restriction distribution agreements which may sabotage trade between member states.

Following this, COMESA has alerted that it will evaluate the conduct of the company to ascertain its effects in the common market and apply appropriate measures in line with the commission's regulations.

"Article 16 of the regulations prohibits all agreements which may affect trade between member states and have as their object or effect the prevention, restriction or distortion of competition in the common market," the statement read.

Mwemba has however spotlighted that the commencement of the investigation does not presuppose that the conduct under investigation has yet been determined as anti-competitive nor the company has violated the regulation.

"The commission will by the provisions of part 3 of the regulations, conduct an inquiry to determine whether the alleged conduct has as its object or effect the prevention, restriction of competition in the common market or in a substantial part of it," it stated.

Interested stakeholders have thus been invited to submit written representations by 14 November 2024.

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