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PAKISTAN SUGAR MILLS ASSOCIATION (PSMA) AND MEMBER UNDERTAKINGS vs Ss — 2022 CLD 1068 COMPETITION COMMISSION OF PAKISTAN

Case information

Citation
2022 CLD 1068 COMPETITION COMMISSION OF PAKISTAN
Year
2022
Reporter
CLD
Parties
PAKISTAN SUGAR MILLS ASSOCIATION (PSMA) AND MEMBER UNDERTAKINGS vs Ss
Provisions referred to
S. 2

Fields are extracted from the reported citation and judgment text. Where a detail is not stated in the record, it is not shown.

Judgment text as reported

PAKISTAN SUGAR MILLS ASSOCIATION (PSMA) AND MEMBER UNDERTAKINGS VS Ss. 4 & 2(1)(k)--- Prohibited agreement--- Relevant market---Geographical market--- Scope--- Undertakings argued that the determination of relevant geographical market as the whole of Pakistan is erroneous due to the fact that regulatory environment is not homogenous in the whole of Pakistan---Validity---Under S. 2(1)(k), emphasis is placed on conditions of competition being 'sufficiently homogenous' and not strictly homogenous---Large buyers and industrial/ commercial consumers purchase sugar directly from the mills---Sugar wholesalers can either purchase directly from the mills or through the mill's designated broker(s) who work on a commission basis---Wholesalers can then sell sugar onwards to sub-dealers or directly to retailers---In a competitive market, mills compete with each other for business based on price and wholesales/commercial consumers lift sugar from the mill offering the most competitive prices---Sugar and sugarcane can move freely throughout the relevant market and are not restricted to one geographical location and sugar produced by a single mill can be sold throughout the relevant market.

Other judgments reported in 2022 CLD

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