The Competition Commission of Pakistan (CCP) has issued show cause notices to five broiler chicken farming companies for engaging in practices prohibited under the Competition Act, 2010 (the ‘Act’). The companies which have been issued show cause notices are: Avian Poultry Farms (Pvt.) Limited, Big Bird Poultry Breeders (Pvt.) Limited, Sahi Poultry Farms (Pvt.) Limited, Sabirs Poultry (Pvt.) Limited and United Poultry Breeders (Pvt.) Limited. The companies have been asked to submit their written arguments within fifteen days, and to appear before the Commission on 22 December 2010. All these companies are members of Pakistan Poultry Association (PPA). These show cause notices come in the aftermath of the recent PKR 50 million fine imposed by CCP on the PPA for cartelizing the poultry industry. In its decision of 16 August 2010, CCP had found PPA in violation of Section 4 of the Act which prohibits collusive practices by undertakings and associations. It is expected that more show cause notices will be issued in the upcoming days.
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