"Change of Special Commitment by the Competition Authority for Ferrero"

The Competition Authority Modifies Ferrero's Hazelnut Commitments

The Competition Authority has made an important decision regarding Ferrero, implementing a change in the company's commitments related to the competitive balance in the Turkish hazelnut market specific to the year 2025.

The Authority has reduced Ferrero's minimum obligation to purchase 45 thousand tons of hazelnuts during the September-December period to 30 thousand tons due to the decrease in production and quality issues experienced this year.

Commitment Revision for the Year 2025

This revision will only be valid for the year 2025, and the Competition Authority emphasized that the change is temporary and limited, aiming to maintain market balance and prevent producers' grievances while supporting sector stability.

Other Commitments Continue

Under the commitments that gained binding force with the Authority's decision dated March 7, 2024, Ferrero will continue to be obligated to; not purchase hazelnuts below the intervention reference price, not exceed the purchase of 100 thousand tons of shelled hazelnuts during the season, and fulfill the minimum purchase requirement during the September-December period every year.

Daily Penalty Risk

The Authority reminded that if the revised commitments are not adhered to, Ferrero may face administrative fines for each day the obligations are violated. It was noted that the penalty could increase if the violation continues under the Law No. 4054 on the Protection of Competition.

Impact of the Revised Decision on the Sector

This temporary revision due to production and quality losses aims to maintain the competitive balance in the market while preventing producers' grievances and ensuring sector stability, according to the Competition Authority. It should be recalled that at the beginning of 2024, the Competition Authority initiated an investigation over concerns that Ferrero's hazelnut purchasing policies could disrupt competition and concluded the inquiry by accepting the commitments provided by the company.