CCP raids fan makers over price-fixing

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ISLAMABAD: The Com­­petition Commission of Pakistan (CCP) has carried out search and inspection operations at the premises of two major electric fan manufacturers and their industry as­­sociation in Gujrat, over strong suspicions of cart­elisation and price-fixing.

The enforcement act­ion, conducted under Sec­tion 34 of the Competition Act 2010, was part of an ongoing investigation into potential violations of Section 4, which prohibits agreements or pra­ctices that restrict or distort market competition.

Three CCP teams, comprising duly authorised officers, entered and sea­rched the business premises of the targeted entities. The teams secured pricing records, internal documents, and digital evidence relevant to the inquiry.

According to the CCP, the Enquiry Committee examined three years of pricing data and obtained circulars issued by the in­­dustry association. These circulars showed coordinated announcements of price increases for various fan models across member companies.

Collected price lists re­­vealed highly uniform pricing patterns among brands. In multiple ins­ta­nces, manufacturers rev­ised prices on identical dates, with price differences between standard ceiling fan models as low as 0.05pc. In some cases, competing brands char­ged and revised exactly the same prices for specific variants.

These consistent pricing behaviours raise serious concerns of collusive practices and suggest a prima facie violation of Section 4 of the Competition Act.

The electric fan industry plays a significant role in Pakistan’s economy, and the CCP has reiterated its commitment to monitoring the sector to safeguard consumers from artificially inflated prices and anti-competitive conduct.

Published in Dawn, August 5th, 2025

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