Coffee supplier, Secret River Trading, (trading as Caffeluxe) has reached a settlement agreement with the Competition Commission (CompCom) after admitting to price fixing and has agreed to pay R750 000 as an administrative penalty.
The Competition Commission commenced its investigations into the supplier in 2015 after a discount was offered by another coffee company, Global Coffee, found in Checkers stores, back in 2014.
“Caffeluxe had threatened not to supply Global Coffee with capsules unless it increased its price to an agreed shelf price,” according to a statement released by the CompCom.
The investigation also found that between 2013 and May 2014, Global Coffee was prevented from charging less than Caffeluxe when selling coffee capsules.
The commission said it is not seeking any relief against Global Coffee Export.