Tesco settles dairy price fixing dispute

Posted 28 February, 2013
Share on LinkedIn

UK supermarket Tesco has settled with the British Office of Fair Trading for £6.5 million for its reduced part in a dairy price-fixing scandal, which brings to an end nearly 10 years of wrangling. Tesco had appealed an earlier ruling, and the court agreed that there was “insufficient evidence” to back claims that Tesco had colluded with other retailers and suppliers to fix prices for cheese. However, it upheld the guilty verdict of Tesco communicating its pricing to rival retailers through a supplier three times in 2002. The latest hearing by the tribunal brings to a close a long-running OFT probe that has had supermarkets and dairy processors pay a total of £39 million in fines.