OREANDA-NEWS. December 02, 2010. The Federal Antimonopoly Service (FAS Russia) initiated a case against “Vanadii” Kachkaransky Mining-and-Processing Integrated Works” OJSC upon the signs of abusing dominance on the market of vanadium-containing iron ore raw materials (pellets and agglomerate), reported the press-centre of FAS Russia.

FAS Russia suspects violations of the law on competition as “Vanadii” Kachkaransky Mining-and-Processing Integrated Works” OJSC fixed different prices for Russian customers without any economic, technological or other justication, fixing and maintaining monopolistically high price for vanadium-containing iron ore raw materials, as well as creating discriminatory conditions for Russian customers in comparison with the foreign ones.

While from 2009 to the first half of 2010 the costs of а vanadium-containing iron ore raw materials varied within 10-15%, the price for these products increased by 244%. The gap between ex-works prices for vanadium-containing iron ore raw materials for different customers reached 100-110%.

Investigating the case, FAS Russia will verify the fact of violating Clauses 1, 6 and 8 Part 1 Article 10 of the Federal Law “On Protection of Competition” by “Vanadii” Kachkaransky Mining-and-Processing Integrated Works” OJSC.

Reference:

Clause 1 Part 1 Article 10 of the Federal Law “On Protection of Competition” prohibits fixing and maintaining monopolistically high prices for the goods;

Clause 6 Part 1 Article 10 of the Federal Law “On Protection of Competition” prohibits economically, technologically or otherwise unjustified fixing different prices (tariffs) for the same goods, if this is not provided for by the federal;

Clause 8 Part 1 Article 10 of the Federal Law “On Protection of Competition” prohibits discriminatory conditions.