PCC findings on local cement probe out soon

The country’s antritrust authority hopes to come out with a verdict on the alleged violations of competitive practices in the local cement industry as soon as possible, a ranking official said.

“Even in other countries, competition concerns are really seen in the cement industry. Traditionally, even in other countries, investigation period takes quite a long time but I think it is in the best interest of the agency if it can be concluded in a short time as possible. We are also trying to follow the directive of President Duterte that as much as possible, make the processes of government agencies more efficient,” Philippine Competition Commission (PCC) executive director Gwen De Vera said yesterday.

The PCC started last January a full administrative investigation on the cement industry for possible violations of Sections 14 and 15 of the Philippine Competition Act.

The commission found reasonable grounds to proceed to a full administrative investigation after finding reasonable grounds to do so based on a preliminary inquiry it conducted late last year.

Unlike the preliminary inquiry which should be conducted over a 90-day period, De Vera said a full administrative investigation is not time-bound.

“Preliminary inquiry is a broad look into the industry based on publicly accessible information. The full administrative investigation continues to be non-adversarial so it still involves a look, except now, it is a closer look at the industry. Unlike the preliminary inquiry, it may involve speaking with industry players, but not necessarily all of those named in the complaint,” De Vera said.

According to De Vera, the investigation being conducted by the PCC is for the purposes of determining if there has been a violation of the Philippine Competition Act and also if there are any industry factors and specific liability that can be imposed against specific companies.

“We will look if it is within the category of a hardcore cartel, or a kind of agreement which are not criminal but are administrative violations, or abuse of dominance provisions. But there is also a possibility that there was no violation committed at all,” she said.

The PCC investigation is in response to the affidavit-complaint filed by Victorio Dimagiba, a former trade undersecretary who now serves as president of consumer advocacy group Laban Konsyumer Inc.