Communication
The aim of the protection of market competition is primarily to create benefits for consumers and equal conditions for all entrepreneurs on the market, who, acting in accordance with the existing rules and competing on the market with the quality, price and innovation of their products and services, contribute to the overall development of the economy.
CCA is not empowered to decide on food safety and quality
Concerning the media articles reproaching the Croatian Competition Agency (CCA) for not acting in situations where food safety and quality in the food supply chain is threatened, it must be stressed that within the meaning of the Croatian Act on the prohibition of unfair trading practices in the business-to-business food supply chain (UTPs act) the CCA is not empowered for carrying procedures relating to safety, quality and sanitary compliance of food in the food supply chains. There are authorities different from the CCA in charge of food control and food safety audits.
The CCA explains its powers within the UTPs act that include the establishing of the fact whether a contract between the supplier and the reseller, or supplier and buyer and/or processor, contains provisions on quality and type of the agri and food product, and under the circumstances, whether the attached documentation, such as the dispatch note, contain the information on the quality of the product or products concerned.
As an exemption, the CCA may investigate into the quality of the agri or food product within a concrete administrative proceeding but only where the re-seller/buyer or processor unilaterally terminates the contract with the supplier claiming the poor quality of the delivered products or alleging that the delivered product fails to match the agreed quality.
Further, the CCA draws the attention of the public to the difference between the investigations that are carried out by the Ministry of Finance in the case of selling products below the purchase price and the investigations of the CCA where it is exclusively empowered to deal with the sale of agri and food products under the purchase price in situations where it involves the sale to the final consumer. In addition, the CCA may further asses the supply chain only in exceptional cases where the wholesaler and the retailer are connected undertakings within the meaning of company and accounting laws. In all other cases involving the sale of agri and food products below the purchase price, between the wholesaler and the supplier (manufacturer), or wholesaler and retailer, or buyer or processor and re-seller, the provisions of the Trade Act exclusively apply.
The administrative review regarding the implementation of the Trade Act falls under the scope of the ministry of the economy whereas the inspections are carried out by the ministry of finance.