Brussels, 14 May 2009
ForFarmers produces and sells animal feed, fertilisers, pesticides, seeds and seed stock to the agricultural sector in The Netherlands, Germany and Belgium. Through its subsidiary Opfok de KuikenaeR BV, ForFarmers is also active in the breeding and sale of poultry for egg-laying.
Cefetra is active in the supply of raw materials to the feed, food and fuel industries, including the animal feed industry, the foodstuff industry, the crush and starch industry and the bio-fuel sectors.
The Commission’s examination of the proposed transaction showed that there were no horizontal overlaps between the activities of ForFarmers and Cefetra. Regarding vertical effects, the Commission found that there was no risk of restricting access to supplies of raw materials for animal feed because of Cefetra's modest market position. The Commission also found that the merged entity would be unlikely to be able to close off customers by refusing to source raw materials for animal feed from Cefetra's competitors, given the limited market positions of ForFarmers and Opfok de KuikenaeR in the markets for animal feed and the breeding and sale of poultry for egg-laying and the existence of sufficient alternative outlets. The Commission therefore concluded that the proposed concentration was unlikely to raise competition concerns.
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