Russia’s competition watchdog has said that it suspects food giant Danone of breaching local competition laws by co-ordinating the price retailers charge for its products.


The allegation from the Federal Anti-Monopoly Service is based on the fact that Danone provides the recommended retail price for its products.


“The violation of the competition law on the part of Danone lies in setting and protecting prices, discounts, additions, markups as well as in coordinating by a commercial organisation of business activity of commercial entities,” the FAS said.


The case will be examined by FAS on 15 August.


A Danone spokesperson confirmed the news but refused to comment further on the investigation.

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The FAS announcement comes as new regulations and political pressure are increasingly pushing Russian food retailers to drop prices.

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