News Sugar beets
'Monopoly on beet seed is against the law'
Sugar factories are not allowed to have a monopoly on the sale of seed. This is the opinion of the Polish competition authority UOKIK in a case brought by beet growers. The ruling has a major impact, because factories must immediately give their growers freedom to choose where they purchase their seed.
Every now and then people in the Netherlands grumble about the fact that you can only order beet seed from the processor Cosun Beet Company. This is arranged this way in almost all countries. According to factories, this has to do with the fact that they can purchase large quantities at competitive prices, have sufficient stock and have the right varieties and coatings in-house. On the other hand, it is also an instrument for processors to control the area to some extent.
Monopoly position
In Poland private beet growers to submit the case to the Competition and Consumer Protection Office (UOKIK) in Warsaw. The equivalent of the ACM. They ruled this summer that such a monopoly position is not permitted under Polish national law and that factories must immediately stop using it. This has direct consequences for the 2024 beet campaign.
The reason that started the ball rolling is dissatisfaction among Polish beet growers who did not receive the seed they ordered, or were misled. In their judgment, the UOKIK reports that the return obligation that growers enter into when they order seed is unjustified and contrary to Polish law. The consumer watchdog does not agree with the argument that factories can guarantee that only GMO-free seed is used. There are other tools to check that.
A sugar producer may hold the grower responsible for the correct seed quality and the correct certification. A variety must also have been grown that can be found on the recognized variety list. The grower ultimately chooses which variety suits him best and not his buyer.
Financial consequences
The IOKIK also realizes that the Polish processors have an incentive to ultimately not contract or purchase the sugar beets. According to the organization, this is not permitted and such practices are combated with fines.
Niels van der Boom
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