Wednesday, November 20, 2024

Canadians accused of potato price fixing



McCain Foods and Cavendish farms, both dominant potato processors in the Maritimes, are named in a price-fixing lawsuit against them and J.R. Simplot and Lamb Weston.

They are being accused of sharing detailed, sensitive inside information with each other as part of an alleged conspiracy to raise the price of their goods and make more money off consumers.


In one lawsuit filed in Illinois on Friday, a Pennsylvania-based supermarket chain alleged McCain, Cavendish, Lamb Weston and J.R. Simplot have been working together to fix the price of frozen potato products "above competitive levels," in violation of antitrust laws, since at least early 2021.


The document on behalf of Redner's Markets claimed the so-called potato cartel made "matching, simultaneous or near-simultaneous price increases" in 2021 and 2022. The claim said one restaurant owner in Washington, D.C., noticed the alleged timing and posted about it online on April 19, 2022.


"Amazing how all of the major suppliers for french fries and the like are all raising their prices at the same time and by the same amount," read a post on X from the owner of Ivey and Covey. "Totally not collusion or anything, right?"