Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

ComCom to file court proceedings over price fixing

ComCom to file court proceedings against Wrightson, Elders, Rural Livestock over price fixing

By Suze Metherell


July 7 (BusinessDesk) - The Commerce Commission intends to file court proceedings against PGG Wrightson, Elders New Zealand and Rural Livestock by the end of the month, claiming the three fixed fees charged during the implementation of a national livestock tagging scheme.

The consumer protection authority is investigating fees charged during the adoption of the National Animal Identification and Trading Act 2012, commonly known as NAIT. A spokesman for the commission confirmed it intends to file proceedings against the three agricultural companies and five undisclosed individuals before the end of this month.

NAIT is an industry-based initiative which the government helped fund, requiring radio tags for cattle and deer and allowing nationwide tracing of livestock in a bid to bolster New Zealand's response to any biosecurity threats.


Yesterday, Wrightson, the listed rural services firm controlled by China's Agria Corp, revealed the commission believe it had breached the Commerce Act over how it charged fees during the scheme's implementation and that it would "seek a pecuniary penalty from PGW”. Wrightson has cooperated with the investigation and said the penalty, while significant, is unlikely to be “materially price-sensitive”.

Companies convicted of price-fixing can attract a maximum penalty that's the greater of $10 million, or three times the commercial gain, or if that can't be established easily, 10 percent of turnover.

Rural Livestock chairman John Faulks said he didn't know about the investigation and declined to comment. Elders New Zealand also declined to comment.

Wrightson shares were unchanged at 47 cents on the NZX.

(BusinessDesk)

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Energy Resources Aotearoa: Doubling Of Coal Use Shows Need For Local Natural Gas

New figures showing a near doubling of coal-fired electricity generation highlight New Zealand’s energy shortage and the need for natural gas as a lower carbon alternative, according to Energy Resources Aotearoa... More>>


E Tu: ‘Sense Of Mourning’ As Norske Skog Mill Set To Close

Workers at Norske Skog’s Tasman Mill now know they’ll be losing their jobs in little over a month’s time.
On Wednesday afternoon, workers were told the mill will be stopping production from the end of June... More>>




Stats NZ: Card Spending Sees Strong Growth In May

Seasonally adjusted card spending rose by $189 million (2.3 percent) between April 2021 and May 2021, Stats NZ said today.
Spending rose across all industries for the first time since New Zealand moved to level 1 in June 2020... More>>


Catalist: NZ’s New SME Stock Exchange, Gets Licence To Go Public

New Zealand has a new stock exchange – designed specifically for small and medium-sized businesses (SMEs) to raise up to $20 million a year from the public.
Called Catalist, the exchange has already been successfully working the private investment sector.... More>>

E-Commerce: Over 40% Of Those Engaged In The Bitcoin Community Are Millennials

Bitcoin has emerged to be a popular topic among millennials with digital currency increasingly being viewed as a potential source of creating wealth through investments. The interest in bitcoin by millennials signals the role this age group plays in the possible realization of the digital currency’s mass adoption... More>>



Stats NZ: New Zealand Is Getting Drier

While there is natural variation in precipitation due to seasons and cycles, New Zealand appears to be getting drier, Stats NZ said today... More>>