Supermarkets Tesco, Asda, Sainsbury’s and Morrisons, along with the Co-operative Group and Somerfield, are among 11 retailers to have been issued with a statement of objection. The OFT claims that, between 2000 and 2003, the retailers made arrangements with tobacco manufacturers Gallaher and Imperial Tobacco that restricted the ability of each retailer to determine an independent selling price.
It was alleged that this was done by linking the price of the two manufacturer’s brands to that of another competitor. Further to this, Gallaher and Imperial Tobacco, and Tesco, Asda, Sainsbury’s and Somerfield have been accused of indirectly exchanging information on future retail prices.
A Tesco spokesman for said: “The OFT's investigation appears to centre on major tobacco companies. We do not believe that Tesco has acted in a way that has harmed consumers and we will make this clear to the OFT when we see the details of their allegations.”
OFT chief executive John Fingleton said: “For markets to work well for consumers, it is a fundamental principle that pricing decisions should be made independently. If we find evidence of anti-competitive activity, we are prepared to use the appropriate powers to punish the companies involved and deter other businesses from taking part in such behaviour.”
This week, the OFT apologised to Morrisons and agreed to pay£100,000 in damages, after the grocer was wrongly accused in a milk price-fixing inquiry.
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