Economy September 26, 2016 - 11:29 am

Dominicans overpaid US$153M after brewers’ merger: Diario Libre

Santo Domingo-. On Monday outlet diario.libre.com asks…didyou know that after the merger between the Dominican National Brewery (CND) andAmBev, is paying RD$9.23 more for each beer you drink?

But business leaders sidestep the debate over the ProCompetition study which found unfair practices and abuse of the CND’s dominantposition and through which it was determined that Dominicans have paid RD$7.01 billion(US$153 million) more per year after the merger with the Brazilian brand,.

“After the former president of the National Competition ProtectionCommission (CNDC), Michelle Cohen sent a communication to CND President LeonHerbert E. Franklin, with copies to National Business Council (CONEP) PresidentRafael Blanco, the business group considered the CNDC’s actions would beillegal under Law 42-08,” the outlet says.

Using the word "exclusive" even though the law doesn’tmention CONEP’s appointment with powers in the Pro Competition ExecutiveDirectorate: "Conduct studies, papers and other research anddissemination, in order to induce a culture of competition among operators inthe country," as stipulated by the law in Article 33 letter d.

In regard to the response, economist Pavel Isa said to"address the issue of its alleged illegality isn’t reaching to discuss themerits, it’s distracting and sidesteps discussing the fundamentals, which areunfair practices and abuse of dominant position.”

“That Pro Competition report is an academic study and is ananalysis that is done, it’s not a case that is being processed," theeconomist said

"It’s as if the existence of the Council is enough to hidethe truth and discuss ideas. I think what Pro Competition has to do is call to discussionseparate from the studies and disseminate and enrich and build a debate aboutunfair practices, so widespread in the Dominican Republic, " Isa said

“What we need to do now is get a person designated by theExecutive Director of Pro Competition to serve as prosecutor or overseer toprosecute the cases.”

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