Predator: The First Encounter

Title sounds like a sequel to the well known sci-fci movie serie but it’s not. It’s about a competition law case. According to the recently announced UN RO RO decision, TCA has encountered its first predator since it was established in 1997.

As it seen from the announced short decision (detailed one yet to be declared) TCA has ruled that the UN RO RO (an international maritime transportation company) imposed predatory pricing over the Pendik (İstanbul-Turkey) – Marseille (France) line and consequently excluded its rival -UND DENİZ- from the market. TCA fined UN RO RO for 841.199,70 TL, roughly 365.000 Euros (% 0,04 of its net sales).

Being the very first TCA decision on the subject, detailed decision is waited to form a frame for the predatory pricing analysis.

PS: Right before the UN RO RO decision TCA had dealt with another predatory pricing case involved Turkish Airlines but Authority had not found any infringement of the law.

Predatory Pricing Case against the Turkish Airlines

The decision on the alleged predatory pricing by the Turkish Airlines released yesterday. Interesting point of the decision is that there is little information, if any, on how the Turkish Competition Auhority (TCA) reached the conclusion that there is no exclusionary conduct of the Turkish Airlines. The board only states that considering all the available documents and information, it is not possible to suggest that there is an abuse of dominant position. This trend of not providing adequate information and reasoning in the decisions of the TCA has been observed in the area of the determination of fines. It seems that this practice has spread to the assessment of substance of the cases.