ABOUT
THE CASE
Members of the cartel
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AGRAVIS Raiffeisen AG, Hannover Münster
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AGRO Agrargroßhandel GmbH Co KG, Holdorf
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BayWa AG, München
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BSL Betriebsmittel Service Logistik GmbH Co KG, Kiel
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Getreide AG, Hamburg
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Raiffeisen Waren GmbH, Kassel
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ZG Raiffeisen eG, Karlsruhe
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Raiffeisen Waren Zentrale Rhein Main eG, Köln
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Beiselen GmbH, Ulm [Key witness]
Beiselen was also involved in the cartel agreements. Dehner and Agro Schuth are also said to have been involved in the cartel.
In spring 2020, the German Federal Competition Authority (BWB) imposed fines totaling around 157 million euros on at least eight major wholesalers of plant protection products in Germany for colluding on price lists, partly on discounts and on net-net prices for plant protection products for retailers and end consumers.
Purchasers of plant protection products may also have a claim for damages against the members of the cartel if they purchased plant protection products via the agricultural trading companies or other third parties. The cartel raised the general price level of plant protection products and thereby also harmed customers of subsequent market levels and customers of wholesalers not participating in the cartel.
The basis for the agreement was a joint calculation by the wholesalers, which resulted in largely uniform discountable gross price lists. Some of the wholesalers concerned had also agreed on the discount margins to be granted and the sales prices to retailers. The coordination took place both in the course of separate meetings as well as in the course of comprehensive meetings of all cooperative and private wholesalers operating nationwide or in a certain region. This exchange came to a halt with the BWB’s search on 3 March 2015
The companies affected by the BWB’s decision have furthermore admitted the culpable cartel infringement. This means that all farmers and agricultural businesses that purchased plant protection products directly or via intermediaries from one of the mentioned wholesalers in the period from 1 July 1998 to 30 June 2019 are in principle entitled to claim damages. The intermediaries or Landhändler did not take part in the cartel and are not liable for damages. They passed on the increased prices to their customers, who in turn suffered the damage.
THE AMOUNT OF DAMAGE
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Scale of the Cartel
Facts such as extensive market dominance, a high degree of market transparency, limited negotiating power of buyers, a high degree of organizational strength, and the cartel's sustained persistence all point to an extremely efficient cartel that was able to impose high price overcharges over the entire period. -
Evaluation of the damage
Because even experts cannot determine these hypothetical facts precisely in the aftermath, the amount of the damage must ultimately be estimated on the basis of empirical values and with the help of calculations based on competitive economic factors. -
The amount of damages
The damages are calculated as the difference between the price paid for plant protection products and the price that would have been paid regularly on the market (without the cartel).
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Interest on compensation claims
Claims for damages must be subject to an interest charge. Therefore, for projects that date back a considerable time, the interest can amount to a significant amount. -
Interest Rates
You are entitled to statutory interest on your compensation claims at 5%-points above the applicable prime rate since July 2005 and 4% for the period prior to that.
