Group caught violating poultry prices referred to UAE Public Prosecution

The Ministry of Economy & Tourism has referred a group caught unjustifiably raising poultry prices to the Public Prosecution for further action.

The ministry accused the group of exploiting the regional developments, adding that their action violates the consumer protection laws and impacts the country’s food and economic security.

Under Article 5 of the Regulation of Competition Law, agreements between businesses are strictly prohibited if their objective or effect is to distort, restrict, or prevent competition. This includes direct or indirect price-fixing, artificial inflation or suppression of prices, and any coordination that undermines market mechanisms.

The ban also extends to setting conditions for the sale or purchase of goods and services, collusion in tenders and bids, and agreements to limit or freeze production, distribution, development, or marketing activities, alongside coordinated boycotts of specific companies, obstructing their operations, or restricting the free flow of goods and services in the market.

Hoarding, unjustified stockpiling, withholding products, or creating artificial supply conditions that lead to unrealistic pricing are all common practices of the ban, with serious violations that lead to broad economic implications.

The law aims to enhance competition protection, support the growth of economic sectors, and increase productivity, and take action against them. 

The referral comes within the framework of ongoing inspection campaigns carried out by the ministry to ensure stability of food prices in the market.