Price fixing costs SA consumers millions

Some bread manufactures have been under fire for fixing their prices

National Consumer Forum chairperson, Thami Bolani, says consumers lose between R200 million and R400 million as a result of bread price fixing - while big companies walk away with a slap on the wrist. He says the fines the Competition Commission imposed on the big companies were not sufficient as two months later bread prices increases again - affecting the poorest of the poor.

The commission has charged two more companies with collusion in fixing the price of bread. They are Pioneer Foods and Foodcorp. If the two companies are found guilty, they face a possible 10% of their turnover for the 2006/2007 financial year.

Last year Tiger Brands was slapped with a R99 million fine.