Competition panel drops cases against three big companies

MONDAY, NOVEMBER 05, 2012
Competition panel drops cases against three big companies

The Commerce Ministry's Trade Competition Committee yesterday terminated complaints against three giant companies that had been accused of breaching the Trade Competition Act to the detriment of small traders.

In one of the cases that were dropped, Microsoft had been accused of colluding with its agents to sell cheap software so that its agents won many contract bids. However, the committee decided this was a normal trade practice, and Microsoft had not dumped its price.
Thai Beverage was accused of forcing its agents to buy three dozen bottles of Crystal drinking water for any purchase of one case of Pepsi-Cola.
In the third case, a photographic-business group was accused of unfairly importing and selling cheap paper for photo printing.
Commerce Minister Boonsong Teriyapirom, who chaired the committee, said it agreed to terminate these cases as it found no breach of the act.
However, the committee will further its investigation on a case concerning Big C Supercenter, which has been accused of price-dumping on photocopy paper.
The committee found Big C had not dumped retail prices, but quoted very low retail prices during a special promotion.
Boonsong said that although Big C had not dumped prices, as a giant modern trader it could hurt small retailers with such a practice.
The committee ordered further investigation.
The panel has also ordered further investigation on a marathon case against AP Honda for allegedly breaching the act. It also continued investigate whether ThaiBev, in marketing its Archa beer, violated the Price of Goods and Services Act, as claimed by agents of Singha beer.
In addition, the committee has set up a subcommittee to draft regulations for business takeovers under the upcoming Asean Economic Community.