OREANDA-NEWS. November 09, 2012. The Federal Antimonopoly Service (FAS Russia) initiated a case against “United Trading Company” (“ETK” OJSC), “Kashtan M” Ltd. (Moscow), “Kashtan SPb” Ltd. (St Petersburg), “Selting” Ltd. (Bryansk), “Salina Trade” Ltd. (Moscow), “Agros 2003” Ltd. (Gubkin, the Belgorod region), “Potok” Ltd. (Saratov),”SIBSOL” Trading House” Ltd. (Omsk), “Stav Tris” Ltd. (Stavropol); and “Agroresours” Ltd. (Vologda) upon signs of violating Clause 1 Part 2 Article 11 of the Federal Law “On Protection of Competition” (prohibited “vertical” agreements), reported the press-centre of FAS Russia. 

The case was initiated upon the outcome of surprise unscheduled inspections of economic entities involved in sale of baking soda in the Russian Federation that were organized by FAS and its regional offices in October 2011 – October 2012.

FAS suspects that “ETK” OJSC, which sales around 90% of baking soda in the Russian Federation, was imposing a pricing policy over its counteragents – fixing reselling prices for the product.

“Baking soda is used in chemical, food, light and pharmaceutical industries, non-ferrous metallurgy and medicine”, says the Head of FAS Anti-Cartel Department Alexander Kinyov. “The scheme for sale of baking soda, built-up by “ETK” OJSC, is by definition anticompetitive and results in making the product more expensive for the end-consumers”.

Earlier FAS already recognized that the company violated the antimonopoly law on the markets of liquid caustic soda in the course of tenders for purchasing anti-icing reagents for the needs of Moscow. The Federal Antimonopoly Service fined the company over 900 million Rubles.

Currently FAS is investigating another case against “ETK” OJSC on violating the antimonopoly law on the market of polyvinylchloride sale.