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Competition Watchdog Investigates Alleged Price Gouging by Moroccan Cafes

Wednesday 01 May 2024 - 07:40
Competition Watchdog Investigates Alleged Price Gouging by Moroccan Cafes

Morocco's Competition Council has announced plans to conduct a comprehensive investigation into alleged price increases at cafes across the country. This move follows rising concerns about anti-competitive practices that could negatively impact consumers.

Initial findings suggest that some cafe owners and managers are considering raising the prices of beverages, potentially violating anti-competitive laws. This prompted the council to begin an investigation as part of its constitutional and legislative duties.

"According to Law 104.12 on price freedom and competition, the pricing of products and services is to be determined through free competition, except in specific cases outlined by law," stated the council's interim general report. "Any attempts to manipulate prices through coordinated actions or agreements, whether explicit or implicit, are strictly illegal."

The council emphasized that such practices are harmful to fair market competition, given their potential to disadvantage consumers. Furthermore, the report highlighted that discussions regarding pricing or profit margins are prohibited under Law 104.12, with any breaches potentially leading to legal consequences for those involved.

"The Competition Council is prepared to conduct a thorough investigation into these matters," the statement concluded, promising to use all necessary legal measures to ensure compliance with its constitutional and legislative obligations. The council also reiterated its commitment to maintaining a competitive and fair business environment.

Reports from various press sources have drawn attention to potential price hikes at cafes, particularly following the recent Eid Al Fitr celebrations. This increase in prices has concerned consumers and prompted the council to take decisive action to ensure fair market practices.


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