Competition Authority Chairman Birol Küle stated that they opened an investigation against the 6 leading enterprises in the hazelnut buying and selling market on suspicion of "serious competition violations" and said, "During our investigations, if we detect additional enterprises that victimize our farmers and violate competition, we will include them in the investigation without hesitation." he said.
Evaluating their work on the hazelnut market to the AA correspondent, Küle pointed out that hazelnuts are a strategic value for Türkiye's domestic and foreign trade.
Küle pointed out that Türkiye meets 70 percent of the world's hazelnut production, and said, "Around 400 thousand families, who tend their gardens with great difficulty in the rain and mud, on the steep slopes of the Black Sea, especially in Ordu, Giresun, Trabzon and Düzce, earn their living directly from this product. Hazelnuts mean the bread in our families' homes, their children's school fees and a year's hope. Therefore, beyond its economic dimension, hazelnuts are also our social and human dimension." is our line." he said.
Stating that with this awareness and responsibility, as an Institution, they have always focused on the hazelnut sector with great sensitivity from past to present, Küle emphasized that they are constantly on the field to protect fair and effective competition in the market.
Küle stated that they do not just wait for complaints to be received in this process, and that they have initiated sector investigations ex officio in order to protect the rights of the producers, and that they keep the market under constant surveillance through various means such as compliance with commitments processes.
Ferrero example for tracking companies' commitments
Stating that one of the most critical steps they took to prevent the producer from being victimized was the investigation they conducted in 2023-2024 on allegations that Ferrero, which is the largest buyer in the hazelnut purchasing market, abused its power, Küle said:
"In this investigation, we examined Ferrero's behavior in the market in great detail. During the investigation process, Ferrero, which was considered to be in a dominant position in the market, applied for a commitment. As the Competition Board, we came to the conclusion that the commitments in question would eliminate the existing competitive concerns in the market."
Küle reminded that in this context, the relevant commitments presented by the company for the hazelnut purchasing seasons covering the years 2024, 2025 and 2026 were accepted and made binding for Ferrero, and said, "Since then, we have been monitoring all of Ferrero's steps and whether it complies with the commitments. I would like to underline once again for the peace of mind of our producers. We have determined that Ferrero did not comply with the commitments or victimized our farmers by trying to circumvent the commitments." "In this case, very heavy administrative fines will be imposed on the company." made his assessment.
"We have initiated ex officio investigations against the competition problems that have developed against our farmers."
Underlining that they aim to protect the labor of hazelnut producers in every link of the supply chain, Küle stated that after the Ferrero decision, they continue to follow the sector in all its dimensions, from Ordu to Giresun, from Düzce to Trabzon, from the purchase in the village to the factory.
Küle pointed out that he evaluated all stages of the supply chain on a regional and local scale and said, "We immediately initiated ex officio investigations against the competition problems that developed against our farmers." he said.
Reminding that they conducted two separate investigations on the grounds that the enterprises agreed among themselves to determine the purchase and sale prices of hazelnuts in 2024, Küle stated that at the end of the reconciliation process, they imposed fines on 21 enterprises operating in Trabzon and 10 enterprises operating in Düzce.
Küle stated that they will not allow anyone to come together, even at the local level, and determine the producer's price.
Stating that they started a preliminary investigation in the sector in September to check whether the prices were formed freely and fairly in the market with the start of the hazelnut season this year, Küle said, "We carried out comprehensive on-site investigations in the main enterprises operating in the region from the west to the east of the Black Sea. As a result of the information and documents we obtained, we opened an investigation on 22 October on suspicion of serious competition violations against the 6 leading large enterprises in the hazelnut buying and selling market." he said.
Küle stated that with this investigation, they addressed two basic suspicions that directly concern the producer's pocket and welfare, and made the following evaluations:
"In the investigation, we are looking for clear answers to the following questions. First, 'Is there a connection between the largest buyer in the market and local and medium-sized buyers in the field to reduce prices?' In other words, are local buyers, under the control and guidance of the big buyer, suppressing prices and forcing the producer to sell cheaply? Secondly, 'Do buyers, who need to compete with each other in the market, set a common price by colluding secretly?' So, no matter which door our farmer goes to to sell his product, is he faced with the same pre-agreed low price and is left helpless? "Our main expectation from this investigation we have opened is to ensure that hazelnut prices are determined in the natural flow of the market, in a fair and free competition environment, rather than through table-side agreements."
"We are determined to use all the powers we have to the fullest."
Emphasizing that farmers are not alone, Küle said that they highly respect the labor of the producers.
Küle stated that they are determined to use all the legal tools and authorities at their disposal to find the true value of hazelnuts and to ensure that the 400 thousand families who depend on this product for their livelihood can fully receive the reward of their efforts, and said:
"Anyone who wants to artificially reduce the prices of the hazelnuts they purchase, aims to buy the product at a cheaper price and risks violating competition for this will find us. We will carry out the investigation we have opened with this determined will. I say clearly, if we detect additional enterprises that victimize our farmers and violate competition during the course of our investigations, we will include them in the investigation without hesitation. We will continue to follow the sector closely and work to the end to ensure that our valuable producers are rewarded for their efforts."
