CAPT TOWN – The Competition Commission said on Monday that it had reached a settlement agreement of more than R46 million with two wood-based companies over cartel conduct.
The commission has referred the deal with Sonae Arauco and PG Bison to the Competition Tribunal for confirmation as an order.
“In terms of the agreement, Sonae has undertaken to pay an administrative penalty of R46 944 495,” it said. “Sonae and PG Bison have admitted to price-fixing and collusive conduct in the wood-based commodity industry in contravention of the Competition Act.”
PG Bison has since changed its name to KAP Diversified Industrial. The two companies entered into an agreement in which they would charge customers for wood-based panel products.
From 2012 to 2016, they would frequently meet in order to fix selling prices and increases. Sonae and PG Bison are competitors in the manufacturing of wood-based panel products.
African News Agency (ANA)