Competition Council warns beekeepers against illegal price fixing of honey

The Competition Council has warned beekeepers that agreements on the prices of goods or services are among the most dangerous competition law infringements and distort the market to the detriment of consumers.

This was in response to a call issued last week by the Lithuanian Beekeepers' Union for a solidarity increase in honey prices. 

„Both individuals and companies have the right to set their own prices. Competitors are prohibited from discussing or coordinating prices with each other, from negotiating price increases, both directly and through business organisations," Daumantas Grikinis, head of the Council's Prohibited Agreements Investigation Group, said in a statement.

The letter sent to the trade union stresses that an agreement on uniform prices between beekeepers or their organisations, even if it is aimed at protecting against adverse harvests and ensuring market stability, would be considered one of the most serious restrictions of competition.

For its part, the Beekeepers' Union informed the Council that it had taken note of the comments and removed the information.

Lithuanian Beekeepers' Union published an appeal last week on its website and on its „Facebook“ account, calling on the community of beekeepers to show solidarity and increase both retail and wholesale prices of honey. In view of this year's unfavourable harvest, the union's aim was to balance the price of honey, improve demand for local honey and improve beekeepers' incomes.