Merger control (Finland): Finnish Competition Authority amends conditions imposed on Valio in two merger clearance decisions
- Finland
- 07/02/2009
- Roschier, Attorneys Ltd. - Finland
The Finnish Competition Authority (“FCA”) amended, at the request of Valio Oyj (“Valio”), the conditions imposed on Valio concerning the pricing of its raw milk in two merger clearance decisions. The conditions were imposed in Valio’s acquisition of Kainuun Osuusmeijeri, Osuuskunta Maito-Pirkka and Aito Maito Fin Oy in 2000, and in Valio’s acquisition of Meijeriosuuskunta Milkan Vöyri in 2004.
In order to receive approval for these acquisitions, Valio had committed, inter alia, to sell 185 million liters of raw milk to potential competitors independent of Valio. According to the conditions imposed on the clearance of the two acquisitions, the pricing of the quota of raw milk shall be based on Valio’s costs. However, during the past few years, the quota of raw milk has increasingly been purchased as skimmed milk.
This has caused losses for Valio which were not intended by the pricing conditions. Therefore, the FCA amended the part of the condition concerning raw milk that contains regulations on the pricing of skimmed milk and milk containing less than 4.2% fat. The amended conditions take effect on 1 January 2010. Source: The Finnish Competition Authority (www.kilpailuvirasto.fi) 25/6/2009
