The Croatian competition authority, AZTN, has officially closed its administrative procedure against ŽITAR d.o.o., which was initiated on November 11, 2024. The investigation aimed to determine whether ŽITAR, as a buyer of wheat, had abused its significant negotiating power by imposing unfair trading practices on its suppliers, in violation of the Law on Prohibition of Unfair Trading Practices in the Food Supply Chain (ZNTP).

The investigation was prompted by indications that ŽITAR d.o.o. was operating without a written contract with one of its wheat suppliers, suggesting possible unfair trading practices as defined by Article 4, paragraph 2, point 1 of the ZNTP. AZTN sought to verify the legitimacy of ŽITAR's business practices during the 2023 harvest and its dealings with other wheat suppliers.

Throughout the administrative procedure, AZTN assessed the factual situation using appropriate means of evidence. After a thorough evaluation of each piece of evidence, the authority concluded that the initial indications of ŽITAR's potential abuse of negotiating power were unfounded. Consequently, AZTN found that ŽITAR d.o.o. had not acted contrary to the provisions of the ZNTP regarding the suppliers in question.

As a result, AZTN has suspended the proceedings, as there were no longer legal grounds for continuing the investigation. The authority will continue to monitor compliance among buyers and suppliers in the food supply chain to prevent and sanction unfair trading practices and to protect equitable relationships among market participants.

The full text of the decision, excluding business secrets, is available on the AZTN website.