Tanzania: Watchdog Probes TCC''s ''Cannibalism''

Source from:  Tanzania Daily News  04/29/2014

FAIR Competition Commission is looking into legality of the move by the Tanzania Cigarette Company (TCC) to acquire its competitor, Iringa Tobacco Company.

The commission said in a statement that it was looking on TCC acquisition of the assets of ITC located at Kidamali Village in Iringa Region if it had infringed provisions of Fair Competition Act of 2003.

It said it had provisionally established that the TCC had concluded a prohibited merger to strengthen a position of dominance in the market contrary to the law.

The Commission further said it had provisionally established that TCC had also abused their position of dominance in the market contrary to the law.

It invites people with reasons to believe that their interests have been affected by the acquisition to file written submission to the commission for determination.

According to the commission, Iringa Tobacco Company was manufacturing cigarettes branded Nyati Menthol and Nyati Filter and was competitor of TCC in production, distribution and sales of filter and non-filter cigarettes in Mainland Tanzania. Enditem