BCC imposes heavy fines on Kazi Farms, Saguna Foods for market manipulation
Kazi Farms fined Tk 50m while Saguna Foods counts Tk 34.4m
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In a significant development, the Bangladesh Competition Commission (BCC) has slapped substantial fines on two prominent poultry companies, Kazi Farms and Saguna Feed, for their alleged involvement in market manipulation within the egg and chicken market.
The action comes after a year-long investigation into the soaring prices of eggs and broiler chicken in August 2022, which saw egg prices skyrocket to Tk 180 per dozen and broiler chicken prices surge to Tk 300 per kilogramme.
The BCC initiated its probe in the wake of public outcry over the exorbitant prices that had gripped the poultry market.
After a meticulous investigation, it was revealed that market manipulation by key industry players had played a pivotal role in this unprecedented price surge.
Kazi Farms, a renowned name in the poultry industry, has been fined a staggering Tk 50 million, while Saguna Foods Pvt Ltd, another prominent player, faces a fine of Tk 34.4 million.
The BCC's decision to impose these substantial fines is intended to act as a deterrent against unfair market practices and to safeguard the interests of consumers, said BCC Chairperson Pradip Ranjan Chakraborty.
He told the FE that they fined the two companies on Monday under section 15 of the Competition Act.
It is noteworthy that the BCC had previously taken legal action against six leading companies in the poultry sector, alleging their involvement in market manipulation.
These actions have underscored the regulatory body's commitment to maintaining fair competition and preventing unscrupulous practices within the industry.
The BCC's decisive actions in penalising these companies are expected to bring relief to consumers who were burdened with inflated prices for eggs and broiler chicken in 2022.
Furthermore, these measures will likely serve as a warning to other players in the industry, emphasising the importance of maintaining transparency and ethical practices in the marketplace, said BCC officials.