Poultry Cartel Case: Tribunal upholds CCP order, directs PPA to deposit Rs25 million penalty

The Competition Appellate Tribunal (CAT) has upheld the order of the Competition Commission of Pakistan (CCP) in the poultry cartel case.

The tribunal, however, reduced the penalty from Rs50 million to Rs25 million, citing a judgment of the Supreme Court in a similar case, and directed the Pakistan Poultry Association (PPA) to deposit the amount within 15 days.

In 2010, the CCP fined the PPA and its members Rs50 million for forming a cartel and illegally colluding on poultry product prices, in violation of Section 4 of the Competition Act. The action triggered prolonged legal proceedings over cartelization in the poultry sector.

During the hearing, counsel for the appellant told the tribunal that the association had no objection to the appeal being decided in line with the Supreme Court’s 2022 ruling in a similar case, in which the apex court had taken a lenient view and reduced the penalty.

Relying on the same reasoning, and with the consent of the appellant, the Appellate Tribunal reduced the total penalty to Rs25 million. The tribunal held that the facts of the present appeal were largely similar. It disposed of the case without examining the merits afresh.

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