The companies which were fined and penalised for price fixing chicken feed during the height of food crisis said the findings my MyCC on the alleged price fixing has no merit.
The Malaysia Competition Commission imposed nearly RM415.5 million in penalties against the five poultry feed manufacturers it was investigating for infringing Section 4 of the Competition Act 2010 (Act 712) by forming a price-fixing cartel for poultry feed.
In a statement today, it said the companies include Leong Hup Feedmill (M) Sdn Bhd, FFM Berhad, Gold Coin Feedmills (M) Sdn Bhd, Dindings Poultry Development Centre Sdn Bhd, and PK Agro-Industrial Products (M) Sdn Bhd.
It said “Investigation by MyCC between January 2020 and March 2022 unravelled the distortion in the poultry feed market with multiple evidence in the form of price announcements, pricing patterns, and communication among the enterprises,” said MyCC.
Among the decison made by MyCCis that it maintains its finding of price-fixing infringement with imposition of financial penalty. It also wants these companies to submit report of poultry feed price changes and include specific documentation in monthly report with specific reporting periods and submission deadlines.
MyCC also want the companies to implement a competition law compliance programme and enrol broader employees into its competition law compliance programme and training within a specified deadline; and to include a provision in its Code of Conduct to acknowledge that involvement of any employee or board member in competition law infringements is a misconduct.
However, both FFM and LFM has denied these allegations and issued a statement saying they strongly believe that MyCC’s finding of infringement is without merit. They will also take appropriate actions to challenge the decision and apply for a stay.
