The Common Market for Eastern and Southern Africa (COMESA) Competition Commission has launched an investigation into The Coca-Cola Company's alleged anti-competitive conduct.
In a statement on Monday, the Commission’s Director and Chief Executive Officer, Willard Mwemba, claimed that it “has reason to believe” that Coca-Cola and affiliates in Africa had concluded restrictive bottlers and distribution agreements that may sabotage trade between member states.
Following this, COMESA has alerted that it will evaluate the company's conduct to ascertain its effects on the common market and apply appropriate measures in accordance with the commission’s regulations.
“Article 16 of the regulations prohibits all agreements which may affect trade between member states and have as their object or effect the prevention, restriction or distortion of competition in the common market.”
However, Mwemba has highlighted that the commencement of the investigation does not presuppose that the conduct has yet been determined as anti-competitive or that the company has violated the regulation.
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“The commission will by the provisions of part 3 of the regulations, conduct an inquiry to determine whether the alleged conduct has as its object or effect the prevention, restriction of competition in the common market or in a substantial part of it,” it stated.
Interested stakeholders have thus been invited to submit written representations by 14 November 2024.
