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Date of release: 25 July 2019
Tribunal dismisses collusion case against asphalt producers
 
The Competition Tribunal has dismissed a complaint referral against two asphalt producers (a product used to tar road surfaces) whom the Commission accused of entering into an agreement to divide markets, in contravention of the Competition Act.
 
In its complaint referral, the Commission alleged that Roadspan Surfaces (Pty) Ltd agreed not to set up an asphalt production plant in Gauteng in competition with Much Asphalt (Pty) Ltd and, in return, to remain a customer of Much Asphalt for the supply of asphalt in the province.
 
According to the Commission, the two companies entered into the collusive agreement during a meeting in 2008.  
 
In its order and reasons issued today, the Tribunal has found that the Commission had not discharged its onus to prove that a geographic market division agreement was struck between Roadspan and Much Asphalt at a meeting on 22 May 2008, as alleged by the Commission.
 
The Tribunal has also found that there was no proof in relation to a possibility that an agreement was reached at a later meeting after 22 May 2008 but before July 2008.
 
“We find that the Commission has failed to set out facts or evidence before us that would, on a balance of probabilities, sustain a contravention of section 4(1)(b)(ii) of the Act,” said the Tribunal. 
 
**For a full copy of the order and reasons, please contact the Tribunal’s Communication Officer (details below)**
Gillian de Gouveia
Communications Officer
Tel: +27 (0) 12 394 1383
Cell: +27 (0) 82 410 1195
E-Mail: GillianD@comptrib.co.za
Twitter: @comptrib
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ctsa@comptrib.co.za

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