DTI won't stop Century Tuna's 'monopolistic' practice

The Trade department will not stop a Century Tuna promotion that seeks to deter supermarkets from selling competing canned tuna brands, despite claims by a rival firm that it is anti-competition. Rival CDO Foodsphere, Inc. earlier complained to the department over the Century Pacific Group of Companies' so-called voluntary loyalty program. "The department's main concern is compliance with fair trade laws, healthy competition and value for money. Marketing and promo strategies are left with the companies, with government not interfering with buyer-seller relationships," Trade and Industry Undersecretary Zenaida C. Maglaya said in a statement on Tuesday. Last month, CDO Foodsphere decried its competitor's loyalty scheme in a letter to Trade chief Peter B. Favila, claiming that rebates to retailers that sell only Century Pacific canned products creates a monopoly and suppresses competition. Both parties could not be immediately reached for comment. Maglaya said the government would continue to mediate between the rival companies to ensure consumer welfare. Century Pacific makes Century, 555, Blue Bay and Fresca canned tuna brands, while CDO Foodsphere is behind the CDO processed meat and San Marino corned tuna brands. CDO Foodsphere has also alleged that Century Pacific had restricted the production, supply and distribution of canned tuna in the market. — Jessica Anne D. Hermosa, BusinessWorld