Competition Commission orders top retailers to stop bread wholesale

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By Kwanele Dhladhla

The Eswatini Competition Commission (ESCC) has ordered top retailers, including Spar, Pick n’ Pay, Shoprite, OK Foods, and Boxer, to stop wholesale distribution of bread after they were found to be in breach of the Trading Licenses Regulations of 1975.

The commission has reported that during the second quarter of the 2025/2026 financial year, it made decisive strides in upholding fair competition through robust enforcement and industry engagement.

It was pointed out that a notable case involved allegations against major retail supermarkets, including Spar, Pick n’ Pay, Boxer Stores, OK Foods, and Shoprite.

ESCC said these supermarkets were accused of wholesaling bread from their in-house bakeries without proper licenses.

“This practice, raised by Linkengane Investments (Pty) Ltd, prompted an inquiry that revealed a regulatory breach under the Trading Licenses Regulations of 1975. Through coordinated efforts with the Ministry of Commerce, Industry and Trade,

the ESCC confirmed that the implicated retailers were operating beyond the scope of their licenses,” the commission led by Muzi Dlamini as Chief Executive Officer (CEO), Muzi Dlamini revealed.

In response to the discovery made after the inquiry, ESCC disclosed that it facilitated joint compliance engagement with the supermarkets, ordering an immediate cease-and-desist of the unauthorised activity.

It was mentioned that the companies also received targeted education on both competition law and licensing obligations, reinforcing the seriousness of the offense and potential penalties for continued non-compliance.

Complementing these enforcement actions, the ESCC reported that it also continued its proactive education drive.

These included training members of the Eswatini Bankers Association (EBA) on competition compliance.

The session, held at the Business Eswatini site at Emafini, brought together professionals from institutions including First National Bank, Eswatini Bank, Standard Bank, Building Society, and Nedbank.

It was stated that the training covered key areas, including cartel detection, merger control, and the role of strategic research in competition enforcement and policy development.

“Through these interventions, the ESCC continues to demonstrate its commitment to ensuring a fair and transparent economic environment.

By addressing complaints decisively and equipping industries with knowledge, the organisation is helping to build a culture of compliance that benefits businesses and consumers in Eswatini,” it was added.


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