Heineken Fined $900,000 by COMESA Over Antitrust Breaches

Heineken Holding NV will pay a $900,000 fine to the COMESA Competition Commission after the regional watchdog found the Dutch brewer engaged in anticompetitive conduct through its distribution agreements in eastern and southern Africa.

The fine, confirmed by COMESA’s Committee Responsible for Initial Determinations (CID) on March 10, covers three violations: resale price maintenance, territorial restrictions, and single branding clauses that limited competition across the 21-member bloc.

The Commission said its probe, launched in June 2021, found that Heineken’s agreements restricted distributors from setting their own prices, selling rival products, or operating beyond designated territories—practices that undermined trade and consumer choice in the Common Market.

Under a settlement reached on a non-admission of liability basis, Heineken will pay $300,000 for each infringement and commit to reform its distribution contracts.

The company also agreed to train staff and distributors on the revised agreements and submit regular compliance reports.

Heineken must notify affected distributors within 14 days of the agreement’s effective date and provide proof of payment and contract changes within timelines specified by the Commission.

The firm will be monitored for three years, with the possibility of review after that period.

The CID said the corrective measures were sufficient to address competition concerns and avoided the need for prolonged litigation.

The Commission said the ruling highlights its resolve to enforce regional competition laws and dismantle trade barriers that hinder market integration.

Aggrieved parties have 30 days to appeal the CID decision, after which it becomes final and binding.

gandae@businessdayafrica.org