RIYADH: In a move to enhance Saudi Arabia’s market performance, the General Authority for Competition imposed a SR10 million ($2.66 million) fine on Al-Moknaz Fodder Trading Co. for abusing its dominant position in the market.
Responsible for combating illegal monopolistic practices in Saudi Arabia, the authority’s move is part of its strategy to promote competition-stimulating policies and improve market performance to support consumer and business sector confidence.
On receiving complaints about the commercial company, the GAC decided to investigate which led to its decision to penalize the firm for violating Paragraph 3 of Article 6 of the Competition Law.
The law says: “It is prohibited for the establishment or establishments that enjoy a dominant position in the market or an important part of it to abuse exploiting this situation to prejudice or limit competition or to reduce or increase the available quantities of products in order to control prices and fabricate an unreal abundance or deficit (of goods).”
With a desire to promote the business sector’s competition environment, the authority also called on all establishments to abide by the Competition Law as well as its executive regulations.
Aimed at contributing to investment flow and enhancing sustainable development, such decisions demonstrate the GAC’s commitment to improving the business environment in the Kingdom, in line with Vision 2030.
