{"id":661178,"date":"2025-02-24T00:00:00","date_gmt":"2025-02-24T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2025\/02\/24\/egypts-competition-watchdog-targets-162-chick-producers-in-price-fixing-probe\/"},"modified":"2025-02-24T00:00:00","modified_gmt":"2025-02-24T00:00:00","slug":"egypts-competition-watchdog-targets-162-chick-producers-in-price-fixing-probe","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2025\/02\/24\/egypts-competition-watchdog-targets-162-chick-producers-in-price-fixing-probe\/","title":{"rendered":"Egypt\u2019s competition watchdog targets 162 chick producers in price-fixing probe"},"content":{"rendered":"

The Egypti<\/strong>an Competition Authority has filed a criminal lawsuit again<\/strong>st 162 broiler <\/strong>chick producers<\/strong>, accusing them of forming agreements to fix daily prices in violation of the country\u2019s competition law, according to a statement<\/a> from the authority. The alleged coordination impacted chick and poultry prices nationwide. <\/p>\n

(Tap or click the headline above to read this story with all of the links <\/strong>to our background as well as external sources.)<\/p>\n

So, what happened?<\/strong> The authority\u2019s investigation found the accused companies colluding daily to fix broiler chick prices for poultry farmers and exchanging sensitive market data, including supply levels, raw material costs, and demand trends. This coordinated price-setting drove up chick prices well beyond their actual cost, which consumers ended up bearing. <\/p>\n

How big of a price hike are we talking? <\/strong>The actual production cost of a day-old chick is no more than EGP 25, yet market prices have surged to EGP 60 per chick, according to an industry source. <\/p>\n

The authority\u2019s investigation confirmed the Poultry Producers Union was directly <\/strong>involved in the price-fixing scheme<\/strong>, allegedly facilitating, encouraging, and enforcing compliance with the agreed-upon pricing, the statement reads. This lent credibility to the collusion, allowing it to persist over an extended period and further driving up poultry prices.<\/p>\n

This marks the first time the Poultry Producers Union has been directly accused in a <\/strong>monopoly case<\/strong>, Cairo Chamber of Commerce\u2019s poultry division head Abdel Aziz El Sayed told EnterpriseAM. <\/p>\n

A recurring issue: <\/strong>The authority refers criminal cases against poultry producers to public prosecutors almost annually. The most recent case, in September, was against 21 major table egg producers<\/a> accused of colluding to raise prices. <\/p>\n

However, such cases rarely lead to meaningful consequences<\/strong>, according to El Sayed, who said that they often end with modest fines or outright dismissal, allowing anti-competitive practices to persist. To deter future violations, he called for harsher penalties, including jail time and publicly naming offenders \u2014 a measure adopted in several other countries to discourage such practices, he added. <\/p>\n

Union pushes back:<\/strong> Poultry Producers Union Chairman Mahmoud Al Anani denied that the union had any role in price-fixing, telling EnterpriseAM the union had no direct or indirect involvement in setting chick or poultry prices. The union is now in talks with the authority to obtain a list of the accused companies and review the case details.<\/p>\n

Pointing the finger at the FX crunch: <\/strong>The price surge, Al Anani argued, stems from a supply crunch, worsened by foreign currency shortages that delayed imports of stock for broiler production. The market will need at least seven months to stabilize, he said. The union has called an emergency meeting this week to address the crisis, Al Mal<\/a> reported.<\/p>\n

The nature of the poultry business \u2014 live birds, fresh eggs, and hours-old chicks \u2014 <\/strong>makes hoarding impossible<\/strong>, said Tharwat El Zeiny, deputy head of the Poultry Producers Union.<\/p>\n

The real culprit, he argued, isn\u2019t price-fixing but soaring costs.<\/strong> A 500% spike in vaccine and serum prices, combined with FX shortages, has driven up chick prices. To keep the market stable, he urged authorities to enforce the law which bans live poultry trading and could help balance prices year-round.<\/p>\n","protected":false},"excerpt":{"rendered":"

The authority\u2019s investigation found the accused companies colluding daily to fix broiler chick prices for poultry farmers and exchanging sensitive market data<\/p>\n","protected":false},"author":1,"featured_media":661179,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8787],"tags":[317,1978,72,564,182],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-661178","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-competition-watch","tag-commodities","tag-competition-watch","tag-enterpriseam","tag-food","tag-inflation","wpautop","entry"],"acf":{"mongo_id":"c6c431bc-d4ee-4282-a91d-e13aef273210","order":"8","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2025\/2\/2186.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egypt\u2019s competition watchdog targets 162 chick producers in price-fixing probe","related_issue":[661165],"teaser":"The authority\u2019s investigation found the accused companies colluding daily to fix broiler chick prices for poultry farmers and exchanging sensitive market data","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2025\/2\/.08c0aeb1-0b99-4f85-9409-5dece516499e.mp3"},"yoast_head":"\nEgypt\u2019s competition watchdog targets 162 chick producers in price-fixing probe - 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Farms\u2026","rel":"","context":"In "LAST NIGHT\u2019S TALK SHOWS"","block_context":{"text":"LAST NIGHT\u2019S TALK SHOWS","link":"https:\/\/enterpriseam.com\/egypt\/category\/last-nights-talk-shows\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":643535,"url":"https:\/\/enterpriseam.com\/egypt\/2024\/09\/10\/egyptian-competition-authority-cracks-down-on-alleged-egg-cartel\/","url_meta":{"origin":661178,"position":1},"title":"Egyptian Competition Authority cracks down on alleged egg cartel","author":"enterpriseam admin","date":"10 September 2024","format":false,"excerpt":"The cartel represents around 70% of the market","rel":"","context":"In "COMPETITION WATCH"","block_context":{"text":"COMPETITION WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/competition-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2024\/9\/682.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":642182,"url":"https:\/\/enterpriseam.com\/egypt\/2017\/08\/08\/nine-poultry-producers-indicted-on-price-collusion-charges-referred-to-economic-court\/","url_meta":{"origin":661178,"position":2},"title":"Nine poultry producers indicted on price collusion charges, referred to economic court","author":"enterpriseam admin","date":"8 August 2017","format":false,"excerpt":"Nine poultry producers indicted on price-fixing charges: Authorities have indicted nine poultry producers for market manipulation and anti-competitive practices. The companies could face trial before one of the nation\u2019s economic courts, according to Al Borsa. The case relates to incidents from 2013, which the Egyptian Competition Authority (ECA) believed showed\u2026","rel":"","context":"In "Speed Round"","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":642024,"url":"https:\/\/enterpriseam.com\/egypt\/2017\/08\/03\/eca-finds-evidence-of-collusion-in-poultry-market\/","url_meta":{"origin":661178,"position":3},"title":"ECA finds evidence of collusion in poultry market","author":"enterpriseam admin","date":"3 August 2017","format":false,"excerpt":"Collusive behavior in the market for poultry is reducing supply and increasing prices, the Egyptian Competition Authority (ECA) says. The ECA probed the market from January 2015 to December 2016 and found sufficient evidence of collusion amongst large distributors. The reason behind that was reportedly to fix prices 14% below\u2026","rel":"","context":"In "Basic Materials + Commodities"","block_context":{"text":"Basic Materials + Commodities","link":"https:\/\/enterpriseam.com\/egypt\/category\/basic-materials-commodities\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":630835,"url":"https:\/\/enterpriseam.com\/egypt\/2018\/03\/04\/court-accepts-ibnsinas-appeal-in-antitrust-case\/","url_meta":{"origin":661178,"position":4},"title":"Court accepts Ibnsina\u2019s appeal in antitrust case","author":"enterpriseam admin","date":"4 March 2018","format":false,"excerpt":"Court accepts Ibnsina\u2019s appeal in antitrust case: The Cairo Court of Appeals has agreed to hear Ibnsina Pharma\u2019s appeal against an Economic Court ruling that fined the company, alongside three other pharma manufacturers, a combined EGP 5.6 bn fine for alleged antitrust violations, Al Borsa reports. A Cairo Economic Court\u2026","rel":"","context":"In "Speed Round"","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":581609,"url":"https:\/\/enterpriseam.com\/egypt\/2023\/02\/16\/chickens-and-cars-top-coverage\/","url_meta":{"origin":661178,"position":5},"title":"Chickens and cars top coverage","author":"enterpriseam admin","date":"16 February 2023","format":false,"excerpt":"A lifeline for poultry producers and automotive industry?","rel":"","context":"In "LAST NIGHT\u2019S TALK SHOWS"","block_context":{"text":"LAST NIGHT\u2019S TALK SHOWS","link":"https:\/\/enterpriseam.com\/egypt\/category\/last-nights-talk-shows\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2023\/2\/Masaa-DMC-poultry-tax-breaks-1600px.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/661178","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=661178"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/661178\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/661165"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/661179"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=661178"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=661178"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=661178"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=661178"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=661178"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}