The National Competition Agency has completed the monitoring of the liquid and natural gas market for automobiles. The assessment covered various market levels such as import, wholesale, and retail. Based on the report, the market is highly competitive, with a substantial number of active undertakings and a low Herfindahl-Hirschman concentration assessment index. Therefore, the Agency has concluded that no further monitoring is required for the relevant market/markets.
The Georgian National Competition Agency has conducted a monitoring of the market for insurance products during the sale of credit products by commercial banks. The Agency has issued six mandatory recommendations to improve the competitive environment in the market. According to the Agency's assessment, the market for credit products was highly concentrated between 2020 and 2022, with a stable character and share distribution among large undertakings.
During this period, 15 commercial banks provided credit products, with 10 of them also offering insurance products. The total market share of the two largest commercial banks remained stably high and had a stable percentage at the individual level. Additionally, one undertaking had a market share exceeding 40%, indicating a dominant position, and the market share of another undertaking crossed the threshold of the dominant position.
The Agency believes that the structural direct/indirect connection between commercial banks and insurance companies, as well as the presence of specific "remuneration schemes," may lead to a conflict of interest. This could result in consumers choosing or being offered an insurance company's product that may not be the best choice for them.
The National Competition Agency, based on the address of the member of the Parliament of Georgia, monitored the glass waste collection/recycling market. According to the monitoring, it was established, that the annual volume of the market is small and does not exceed 2 million GEL. Recently, a new company has entered the glass waste collection market, as a result of which the amount of collected waste, the selling price, and also the number of individuals/legal entities, from which glass waste collection is carried out have increased. According to the Agency's decision, there were no risks of violation of Georgian competition legislation in the mentioned market.
The National Competition Agency has completed the monitoring of the auto fuel market. According to the monitoring results of the 7th month of 2022, in the case of fuel imported from Russia, at the level of import and in the case of fuel imported from Romania, taking into account the cost of the customs warehouse, specific companies had a competitive advantage in price, although this was not properly reflected in the retail market, despite the fact that during this period, a decrease in international oil prices was recorded and the tendency of strengthening the national currency. According to the obtained results, the National Competition Agency started to investigate the auto fuel market.
The National Competition Agency has completed the pharmaceutical market monitoring, which covers the 2016-2020 period. The monitoring process is divided into 2 parts: general economic analysis and analysis of specific / selected medications. The main object of the Agency's study was the retail prices of medicines, assessing the impact of the main circumstances affecting the price change on the formation of the retail price. As part of the monitoring, 13 recommendations have been issued by the National Competition Agency. The monitoring was launched based on the recommendations given in the report of the Public Defender of Georgia on “the situation in human rights and freedoms in Georgia 2017” and the resolution of the Parliament of Georgia.
The National Competition Agency monitored wheat and bread products markets, the basis for starting monitoring of the wheat and bread products market was compliance of the specific fact of the distribution/wholesale price of bread by bread manufacturing companies with the competition legislation. Within the framework of monitoring, Agency was focused on the markets of flour and wheat, as well as the markets following the change in the price of bread, etc. The Agency concluded, that the price increase of bread dated December 10, 2018, was reasonable and compatible with the competitive environment and the increase in the price of bread was a reasonable/cost-based decision of the companies, otherwise it would be impossible to conduct profitable economic activities.
The Competition Agency monitored auto insurance market (CASCO). Based on the comprehensive and detailed analysis of information obtained by the Agency, within the auto-monitoring process (CASCO) the Agency considered that the relevant market in 2015-2019 was compatible with a competitive environment.
Competition Agency of Georgia has completed the monitoring of Retail Chain Stores Market, which has launched based of the submissions of Beka Natsvlishvili- Member of Parliament and Georgian Business Distributors Association. During the monitoring process, the alleged violation of Article 6 of the Law of the Georgia on Competition was not established, there is no entity with a dominant position in the relevant market. Also, the alleged violation of Article 7 of the law was not confirmed. The Agency issued a recommendation to prepare a legislative initiative in order to implement a legal provision protecting the interests of weak players in the retail market. Recommendations were also issued for economic agents operating in the relevant market.
Competition Agency of Georgia monitored infant nutrition Market. With in the framework of the monitoring, based on the information obtained by the Agency, on the basis of detailed analysis and assessment, the period of 2014-2019 was studied and the compatibility of the relevant market (adapted mixture for feeding infants from 0 to 6 months) with the competitive environment was determined.
Competition Agency of Georgia monitored the Market of Filter and Unfiltered Cigarette. Based on the information obtained by the Agency, detailed analysis and multifaceted assessment, the period 2013-2017 was studied. The agency revealed that the relevant market was compatible with the competitive environment.
