The Croatian competition authority, AZTN, has fined ELIZABETA PROMET d.o.o. €10,000 for serious violations of the Law on Prohibition of Unfair Trading Practices in the Food Supply Chain (ZNTP).

AZTN initiated an administrative procedure against ELIZABETA PROMET d.o.o. to determine whether the company exploited its significant negotiating power over its suppliers of agricultural and food products by imposing unfair trading practices.

Following the administrative procedure, AZTN found that ELIZABETA PROMET d.o.o. had indeed abused its negotiating power by engaging with two suppliers without written contracts, constituting unfair trading practices under ZNTP.

The fine of €10,000 was determined by considering the severity, scope, duration, and consequences of the violation for the suppliers, along with several mitigating circumstances.

The purpose of the fine is not only to penalize the offender but also to establish, ensure, and protect fair trading practices, which are essential for safeguarding all participants in the agricultural and food supply chain. The penalty aims to deter the offender from further unlawful conduct and raise awareness of the need to comply with ZNTP provisions.

AZTN believes that the imposed fine is appropriate to achieve the intended goals and purposes of the penalty.

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