The Charcuterie Cartel: Investigating Price Fixing & Nitrites in the Industry

2023-12-07 08:30:24

Competition: an agreement on prices between several industries?

The Competition Authority has launched an investigation into the charcuterie sector, specifically targeting nitrite-free products. Visit and seizure operations were carried out within the French Federation of Charcuterie and Caterer Industrialists (FICT). This investigation follows suspicions of price fixing between several major brands, a completely illegal practice in the industry. However, no establishment was cited, and no other additional information was revealed. The nature of the investigation is currently unknown.

Nitrites, often used in cold cuts for their role as a preservative and to give an attractive pink color to ham, carry health risks. The National Food Safety Agency (ANSES) has established a link between nitrites and the increased risk of colorectal cancer. This association has led to increased consumer awareness and growing demand for nitrite-free products.

Heavy fines already distributed in the past

The charcuterie industry is no stranger to sanctions. In 2020, twelve charcuterie companies were ordered to pay a total of 93 million euros for price agreements aimed at customers between 2010 and 2013. These anti-competitive practices affected both suppliers and customers, putting in light of the regulatory issues facing the sector.

The main difference between ham with and without nitrites lies in their composition and their impact on health. Nitrite-free ham, considered healthier, is often more expensive, reflecting higher production costs and growing demand for safer options. This price difference leads some people to say that ham with nitrites is intended for the “poorest”, and ham with nitrites for the “richest”. The price increase can easily reach 20-30%.

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#butchers #created #sausage #cartel

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