EUROPE – The European Union (EU) Commission has officially closed its antitrust probe into AgeCore and Coopernic, two major retail buying groups, after finding no evidence of anti-competitive practices.
The investigation, which began in 2021, focused on allegations that AgeCore and Coopernic had engaged in anti-competitive behavior, such as collusion or abusing their dominant market positions to stifle competition.
The EU Commission, responsible for enforcing EU competition rules, conducted a thorough examination of the evidence, and engaged in discussions with various stakeholders before reaching its conclusion.
After an extensive review, the Commission concluded that there was insufficient evidence to substantiate the claims against AgeCore and Coopernic.
AgeCore and Coopernic are well-known retail buying groups that negotiate purchasing terms and conditions with suppliers on behalf of their member retailers. These buying groups play a vital role in helping smaller retailers compete with larger players by leveraging their collective bargaining power to secure favorable deals.
Margrethe Vestager, the EU’s Executive Vice President for Europe Fit for the Digital Age and Commissioner for Competition expressed satisfaction with the outcome.
She stated: “We have carefully examined the allegations against AgeCore and Coopernic and found no evidence of anti-competitive practices. This decision reaffirms our commitment to fostering fair competition and ensuring a level playing field for businesses.”
The closure of the antitrust probe is expected to provide a boost of confidence to AgeCore and Coopernic, as well as the wider retail industry.
Christel Delberghe, director general at retail and wholesale association EuroCommerce, said alliances were a “key tool” for successful retailer negotiations.
“We welcome the European Commission’s conclusions, rerecognizinghat alliances are a key tool for retailers and wholesalers to more effectively negotiate with suppliers to offer lower prices and increased choices, especially in times of high inflation,” she said.
“Alliances play a key role for retailers and wholesalers to source products within the Single Market to the benefit of consumers.”
AgeCore was set up in 2015 and is formed by four European retailers: Colruyt in Belgium, Conad in Italy, Coop in Switzerland, and Eroski in Spain. The Coopernic buying alliance was set up in 2006 in Belgium.
The closure comes as revised competition rules on cooperation agreements between competitors entered into force on 1 July 2023.
In 2021, Tesco and Carrefour, two of Europe’s largest food retailers, ended their “strategic alliance” on purchasing goods to “work independently and focus on their own opportunities”.
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