Photo by: Duane Daws
The Competition Tribunal would this week hear the Competition Commission’s allegations of a price-fixing cartel in the galvanised wire and wire products industry, as well as in the nail supply sector.
Wire and wire products manufacturers Allens Meshco, Wireforce, Hendok, Independent Galvanising and Associated Wire Industries, trading as Meshrite, stood accused of fixing the prices – directly or indirectly – of light galvanised wire.
The commission alleged that the respondents, who were all competitors, contravened Section 4(1)(b)(i) of the Competition Act by fixing the prices of wire products, dividing markets by allocating customers and tendering collusively for the supply of cable armouring wire between 2001 and 2008.
Three of the respondents were further accused of forming a body called the Allens Meshco Group and either entered into an agreement or engaged in a concerted practice to fix the prices of nails since 2000.
The commission has requested that the tribunal fine the respondents a maximum 10% of their yearly turnover if found to have contravened the Competition Act.
The tribunal would consider the case from January 22 until February 4.