Latvia Probes Coffee Machine Price Fixing

black espresso maker with cup

The Latvian Competition Council (CC) has launched (6 February) an investigation into potential resale price fixing in the coffee machine distribution market, conducting procedural actions at three companies on February 5, 2025. The coordinated enforcement effort also involved competition authorities in two other European Union (EU) member states.

The CC suspects that coffee machine distributors have engaged in practices that artificially maintain a uniform price level by fixing the resale price at which retailers must sell products to consumers. If confirmed, this would constitute a violation of Section 11, Part One of Latvia’s Commercial Code, which prohibits anti-competitive agreements. Companies found guilty could face fines of up to 5% of their net turnover from the previous financial year.

The investigation aims to collect evidence to determine whether market participants violated competition law. However, the CC emphasized that no definitive conclusions have been reached, and any findings of wrongdoing will only be established after a thorough review of the gathered evidence.

The simultaneous procedural actions in two other EU member states reflect growing international cooperation in tackling cross-border competition law breaches.

The CC has not disclosed the names of the companies involved, citing the need to protect the integrity of the investigation. However, it has encouraged other market participants who may have been involved in similar practices to come forward under its Leniency Program.

Source: https://www.kp.gov.lv/lv/jaunums/konkurences-padome-sadarbiba-ar-divam-es-dalibvalstim-istenojusi-procesualas-darbibas-kafijas-automatu-tirgu

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