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With these measures, the Jerónimo Martins Poland will have earned more than 135 million euros in the last three years.
This practice, according to the Polish competition authority, It will have affected more than 200 companies, most of which are suppliers of fruits and vegetables.
UOKiK explains that due to Biedronka’s power in the country, the suppliers were accepting the conditions because they feared the end of the cooperation, which could represent an even greater drop in turnover.
“Jerónimo Martins Poland was applying an unfair mechanism that consisted of an arbitrary reduction of the remuneration of its suppliers in the deliveries they made”, affirmed Tomasz Chróstny, president of UOKiK.
According to this official, the additional discounts that were made were not reflected “in lower prices for Biedronka customers”. “This is an absolutely unacceptable abuse of power. Practices of this type destroy the foundations of fair competition (…) and are a reflection of “a profound injustice and lack of respect for other entrepreneurs”.
The president of UOKiK also says that “The fine imposed on Jerónimo Martins Poland is a warning to other companies that the Authority will severely sanction similar practices”.
In a statement sent to the RTP newsroom, Jerónimo Martins Poland said “not to accept the decision of UOKiK and it is fine” because it is “partial and lacks factual and legal bases”, making it “unfair and undeserved”.
“Negotiations with Biedronka are always transparent and fair, driven by the goal of building long-term relationships that are essential to the sustainability of Biedronka’s supply chain,” the statement read.
The company also guarantees that it will challenge the decision in court “with all its force, arguments and commitment.” “We are confident that the Polish courts will treat this case objectively and impartially and that justice will be served.”, it reads in the document.
