The Georgian Competition and Consumer Agency (GCCA) dismissed a complaint submitted by "Smartly" Ltd, after the complainant withdrew the complaint submitted to the Agency. As a result of the complainant's position, GCCA's involvement, and the use of legal mechanisms, the issue raised in the complaint was resolved at the admissibility stage. The case concerned the alleged abuse of a dominant position (Article 6 of the Law of Georgia on Competition) in the advertising services sector by "Tav Urban Georgia" Ltd and "Alma" Ltd.
Dismissing a complaint does not deprive a person of the right to apply to the Georgian Competition and Consumer Protection Agency (GCCA) on the same subject matter, on the same basis, with the request to investigate the issue. Furthermore, dismissing the complaint does not waive the Agency's right to use the information provided prior to the statement's withdrawal to conduct an an investigation on its own initiative.
The Georgian Competition and Consumer Agency has approved the concentration in the fast-moving consumer goods (FMCG) market. The case concerns the concentration implemented by CHG & CO Ltd (Cyprus) through the acquisition of 50% of “Shaba” Ltd (I/N 406104549). The Agency found that in 2023, up to 12,000 companies were engaged in economic activity nationwide at the retail level of the FMCG market. At present, the Herfindahl-Hirschman Index of Market Concentration (HHI) is 399 units. At the wholesale distribution level, the concentration index of the FMCG market is the Herfindahl-Hirschman index HHI=428.52, indicating a low concentration market. Based on the assessment conducted, the implemented concentration does not have a significant impact on the relevant market and is compatible with the competitive environment.
The Georgian Competition and Consumer Agency has completed an independent investigation into a case initiated by a complaint from "Resenal Solutions" Ltd. The complaint alleged that “Tneti” Ltd and "Mastercard Europe" JSC had infringed on Article 7 of the La of Georgian on Competition in relation to online service provision for hotels and accomodation establishments through loyalty programs. However, the investigation found no evidence of a violation of the Law. Nonetheless, to enhance the competitiveness in the market, two mandatory recommendations were issued to all parties for consideration.
The Georgian Competition and Consumer Agency has approved the acquisition of a 100% share of “Foodmart” Ltd (I/N 404460187) by "Daily" Ltd (I/N 406088638) in the fast-moving consumer goods (FMCG) market. After analyzing the information, the Agency found that approximately 12,000 companies were involved in economic activity in the FMCG retail market in 2023. At present, the market concentration index (HHI) is 399 units. Following the acquisition, the HHI will increase to 445 units, resulting in a change of ΔHHI= 46. The Agency's assessment indicates that the market is low-concentrated, and the acquisition will not significantly change the concentration index.
The Georgian Competition and Consumer Agency has approved the acquisition of a 30% share of "Daily" Ltd (I/N 406088638) by “Holding.ge” Ltd (I/N 205116060) in the fast-moving consumer goods (FMCG) market. After analyzing the information, the Agency found that approximately 12,000 companies were involved in economic activity in the FMCG retail market in 2023. At present, the market concentration index (HHI) is 399 units. Following the acquisition, the HHI will increase to 445 units, resulting in a change of ΔHHI= 46. The Agency's assessment indicates that the market is low-concentrated, and the acquisition will not significantly change the concentration index.
The Georgian Competition and Consumer Agency dismissed a complaint submitted by "Geoprof” Ltd. During the initial admissibility of the complaint, it was found that it did not meet the formal requirements as per the law. The complainant was given a deadline to eliminate the issues, but upon resubmission, the complaint still did not meet the formal standards. Considering that the competition law do not stipulate that a complaint may be filed twice, it was determined not to consider the complaint.
Dismissing a complaint does not deprive a person of the right to apply to the Georgian Competition and Consumer Protection Agency on the same subject matter, on the same basis, with the request to investigate the issue.
The Georgian Competition and Consumer Agency has conducted a monitoring of the nut market. Based on the information gained by the GCCA, on the basis of extensive analysis and multifaceted assessment, and within the framework of monitoring, there are no concerns of competition legislation violations in the nut market. Therefore, according to the GCCA's decision, there is no need for further observation. The Agency (GCCA) initiated the investigation in 2022, based on the appeal of local farmers
The Georgian Competition and Consumer Agency made a decision of inadmissibility on the complaint of "Lolu Group". The case concerned an alleged violation of Article 113 of the Law of Georgia on Competition by the company “Nami 8”. At the admissibility stage of the case, it was determined that the complaint did not meet the material admissibility standard established by the legislation. The Agency determined that there was no reasonable doubt of law violation as there was no breach of competition legislation in the circumstances specified by the complainant. Therefore, the Agency considered it inappropriate to initiate an investigation.
The Georgian Competition and Consumer Agency completed an investigation into the baking soda production/sale sector and established a breach of Article 113 (unfair competition) of the Law of Georgian on Competition. According to the Agency's decision, the defendant was fined over 14,600 GEL. Within the framework of the investigation, company "Suntrade" has been determined to have violated competition legislation by using a similar/almost identical appearance of a competitor's trademark on the packaging of its own product. According to the Agency's decision, in order to eliminate the infringement of the law, the respondent party was directed to bring its acts into line with competition legislation. In particular, a change in the packaging of one's own product (baking soda) so as to eliminate as much as possible the similarity with the competitor company's external look and the possibility of consumer confusion between the two.
The Agency approved the concentration implemented by JSC "Georgian Beer Company" with the purchase of 100% share of "Zedazeni 2012" LLC. According to the materials received and processed by the agency, it was established that in 2023, 215 companies operated in the non-alcoholic beverages market, the market volume was 464,757,669 liters, and the HHI index of market concentration was 2,590. As for the beer market in the same year, there were - 75 companies, market volume was 90 532 597 liters, and market concentration - HHI index - 1888. According to the Agency's assessment, the non-alcoholic beverages market is highly concentrated, although the concentration index slightly exceeds the maximum value of the moderately concentrated market index (2250). The beer market is moderately concentrated, and the distribution services market is low concentrated. Considering the above, according to the decision of the Agency, the implemented concentration does not have a significant impact on the relevant market and is compatible with the competitive environment.
