Israel’s antitrust authority decided to indict Strauss-Elite, its CEO Giora Bar Dea and six senior company officers on evidence they blocked Cadbury chocolate sales.
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A Globes report notes: “The investigation found prima facie evidence that when Cadbury entered Israel, Strauss-Elite violated the Restrictive Trade Practice Law by threatening retailers with the cancellation of discounts for Elite products if they carried Cadbury products.”
Cadbury entered the Israeli market in December 2002 through Carmit. A few months later, the antitrust authorities launched an investigation into Elite’s arrangements with retailers, which included discounts and other benefits if they obstructed Cadbury. Israel’s chocolate market is estimated at NIS1bn (US$227.2m), of which Elite controls 70%.
