October 2023
Frontpage
Anti-competitive conducts
Promoción a la competencia
Recommended reading
FRONTPAGE
The World Bank and the International Competition Network recognize Cofece for its actions in the assessment of the benefits of its interventions
The World Bank and the International Competition Network recognize Cofece for its actions in the assessment of the benefits of its interventions
The Federal Economic Competition Commission (Cofece or Commission) was recognized for the ninth time in the 2023 edition of the Competition Advocacy Contest, for the document What does Mexico gain when there is competition? Economic benefits of eight Cofece interventions.
The jury, consisting of an international panel of independent experts, highlighted that this work represents a quantifiable demonstration of the benefits generated by Cofece for the welfare of consumers and public finances.
ANTICOMPETITIVE CONDUCTS
Cofece notifies several economic agents with a statement of probable responsibility for possibly carrying out anticompetitive conducts in the market of medical oxygen
Cofece notified a statement of probable responsibility to several economic agents that allegedly abused their dominant position, either jointly or individually, to carry out probable anticompetitive conducts of exclusivity in the market for production, distribution, and commercialization of medical oxygen and related services in the national territory.
Cofece notified a statement of probable responsibility to several economic agents that allegedly abused their dominant position, either jointly or individually, to carry out probable anticompetitive conducts of exclusivity in the market for production, distribution, and commercialization of medical oxygen and related services in the national territory.
Cofece challenges concentration between companies that participate in the entertainment services market in dolphinariums in Quintana Roo
The Board of Commissioners of Cofece resolved to object in the proposed terms the concentration between the economic agents Ejecutivos de Turismo Sustentable, S.A. de C.V., Triton Investments Holdings LLC, Controladora Dolphin, Ventura Entertainment, S.A.P.I. de C.V., and Venturalive, S.A.P.I. de C.V., since it posed high risks to competition in the market of entertainment services in dolphinariums.
According to the analysis of the case, the Commission determined that the concentration would imply the absorption by the buyers of a competitor with the capacity to exert competitive pressure, which would reduce the number of existing competitors, generating a negative impact on the price of the services offered.
The Board of Commissioners of Cofece resolved to object in the proposed terms the concentration between the economic agents Ejecutivos de Turismo Sustentable, S.A. de C.V., Triton Investments Holdings LLC, Controladora Dolphin, Ventura Entertainment, S.A.P.I. de C.V., and Venturalive, S.A.P.I. de C.V., since it posed high risks to competition in the market of entertainment services in dolphinariums.
According to the analysis of the case, the Commission determined that the concentration would imply the absorption by the buyers of a competitor with the capacity to exert competitive pressure, which would reduce the number of existing competitors, generating a negative impact on the price of the services offered.
Cofece investigates possible unlawful concentration in the real estate services market
The real estate sector is considered strategic by the Commission because of its impact on the economy and the population welfare. Between 2017 and 2020, real estate services grew by 5.5%. Considering the relevance of the real estate market, the Investigative Authority of Cofece initiated an ex officio investigation for a possible unlawful concentration in the market for the commercialization of classified real estate advertisements in national territory.
The real estate sector is considered strategic by the Commission because of its impact on the economy and the population welfare. Between 2017 and 2020, real estate services grew by 5.5%. Considering the relevance of the real estate market, the Investigative Authority of Cofece initiated an ex officio investigation for a possible unlawful concentration in the market for the commercialization of classified real estate advertisements in national territory.
Cofece notified a statement of probable responsibility to a company for possible anticompetitive practices in the self-service stores market
Cofece notified a statement of probable responsibility to a company for the probable vertical price fixing and/or other relative monopolistic practices in the market for the supply and distribution of consumer goods by self-service store chains in national territory. This sector is relevant for the Commission because of its impact on the welfare of the population; according to statistics from the National Institute of Statistics and Geography (INEGI), Mexican families spend more than half of their income on consumer goods such as food, beverages, cleaning supplies, personal care, and household items.
Cofece notified a statement of probable responsibility to a company for the probable vertical price fixing and/or other relative monopolistic practices in the market for the supply and distribution of consumer goods by self-service store chains in national territory. This sector is relevant for the Commission because of its impact on the welfare of the population; according to statistics from the National Institute of Statistics and Geography (INEGI), Mexican families spend more than half of their income on consumer goods such as food, beverages, cleaning supplies, personal care, and household items.
COMPETITION ADVOCACY
Cofece signs coordination agreement with the Government of Quintana Roo to promote economic competition
Cofece works to ensure that the benefits of economic competition policy have a greater impact on the whole population. Within the framework of this objective, Cofece and the Government of Quintana Roo signed a coordination agreement through which various actions will be implemented to promote and strengthen economic competition and free market access, to the benefit of the state’s economy, its more than 65 thousand companies, as well as its almost two million inhabitants.
Cofece works to ensure that the benefits of economic competition policy have a greater impact on the whole population. Within the framework of this objective, Cofece and the Government of Quintana Roo signed a coordination agreement through which various actions will be implemented to promote and strengthen economic competition and free market access, to the benefit of the state’s economy, its more than 65 thousand companies, as well as its almost two million inhabitants.
Cofece and the Government of Yucatan initiate competition advocacy activities as part of their collaboration agreement
As part of their Collaboration Agreement, Cofece and the Government of Yucatan initiated activities to promote and strengthen economic competition and free market access. This agreement opens a new phase of competition policy in Yucatan, which will generate tangible benefits for the state population; prevent and prosecute conducts that harm consumers and SMEs; as well as contribute to the solution of sensitive social demands, such as the eradication of inequality and the closing of gender gaps.
As part of their Collaboration Agreement, Cofece and the Government of Yucatan initiated activities to promote and strengthen economic competition and free market access. This agreement opens a new phase of competition policy in Yucatan, which will generate tangible benefits for the state population; prevent and prosecute conducts that harm consumers and SMEs; as well as contribute to the solution of sensitive social demands, such as the eradication of inequality and the closing of gender gaps.
RECOMMENDED READING
Third Quarterly Report 2023
The Third Quarterly Report describes Cofece’s activities from July 1 to September 30. This report includes an article about the topics addressed in the conferences and discussions that took place on September 7 and 8 during the Competition Day 2023, an event that was part of Cofece’s tenth anniversary.
Additionally, Chapter 1 addresses the actions taken to prevent and correct market structures that hinder, damage or impede competition. Chapter 2 contains information on activities related to fighting and deterring anticompetitive practices that affect markets. Chapter 3 details the Commission’s work to promote and disseminate the principles of economic competition and its benefits.
Chapter 4 presents Cofece’s actions to consolidate a robust and cutting-edge organizational model. Finally, Chapter 5 provides follow-up information on the Commission’s performance in relation to its strategic objectives and goals defined in the 2023 Annual Work Program (PAT).
BY THE NUMBERS
BY THE NUMBERS
In October, the Commission processed 93 matters, of which 53 were related to concentrations, 27 to procedures for monopolistic practices and unlawful concentrations, 4 to special procedures and 9 to opinions on bidding processes, concessions, or permits.
Complaints, investigations, and trial-like procedures
- Follow-up was given to 2 complaints for anti-competitive conducts, which are still under analysis at the end of the period.
- Follow-up was given to 17 investigations for monopolistic practices.
- 2 trial-like procedures were initiated for the probable conduction of relative monopolistic practices in the markets of medical oxygen and self-service stores.
- These 2 procedures were added to 5 from the end of the previous period; all are still in process at the end of October.
- Follow-up was given to 3 procedures to determine the existence of essential facilities and barriers to competition, and 1 procedure to resolve on market conditions was carried out.
Concentraciones
- 53 concentrations were reviewed, 13 of which were initiated during the period. Of these, 12 were authorized and 1 was objected; so at the end of the period, 40 mergers are still under analysis1.
- The amount of authorized transactions is $18,757 million Mexican pesos.
Amparo trials
- During October, the Judicial Power resolved 24 Amparo trials: 1 was granted, 2 were denied and 21 were dismissed.2 At the end of the period, 422 trials were still in process, of which 371 were related to economic competition matters.
Cofece somete a consulta pública su anteproyecto de modificación a las Disposiciones Regulatorias de la Ley Federal de Competencia Económica