MANILA – The Philippine Competition Commission (PCC) is set to file charges against 12 onion importers and traders for engaging in anti-competitive practices, violating the Philippine Competition Act.
In a memorandum addressed to President Ferdinand R. Marcos Jr. through Executive Secretary Lucas Bersamin, the PCC revealed that these entities manipulated the distribution of sanitary and phytosanitary import clearances (SPSIC) issued by the Department of Agriculture-Bureau of Plant Industry (DA-BPI).
By allocating these clearances and dividing the volume of onions allowed for importation among themselves, the group effectively controlled over 50% of the imported onion supply during the relevant period.
“This collusion among competitors, involving the sharing and exchange of sensitive business information such as pricing, suppliers, customers, and distribution strategies, constitutes an anti-competitive agreement,” the PCC stated.
These practices undermine competition in the market, allowing the importers and traders to avoid competing independently and instead cooperate to restrict competition, which is penalized under Section 14 of the Philippine Competition Act.
The PCC’s Enforcement Office has recommended imposing a total fine of PHP2.4 billion on the violators.
ia/mnm