Basco Paints, Del Monte hit with Sh21.5m fine for unfair trade practices

Basco Paints and Thika-based fruit juice processor, Del Monte, have been slapped with antitrust fines totaling Sh21.5 million by the Competition Authority of Kenya (CAK) for engaging in unfair trade practices.

In a notice published in the Kenya Gazette on Friday, the competition watchdog said it fined Del Monte and the Dura Coat paint maker Sh776,025 and Sh20.8 million respectively for contravening sections of the Competition Act that seek to protect consumers from misleading representations and unfair conduct by businesses.

“The Competition Authority has entered into a settlement agreement with Basco Products after the Authority initiated investigations of alleged collusive conduct between certain manufacturers and distributors of paint products in Kenya,” said CAK director-general Wang’ombe Kariuki.

Mr Wangombe said the paint maker had subsequently made plans to desist from anticompetitive conduct without divulging additional details.

But sources told Business Daily that three other firms are also on the watchdog's radar for price-fixing.