Cade (Administrative Council for Economic Defense) decided this Thursday (22) that Ambev is prohibited from closing new exclusive contracts for the sale of beer in Brazil until the end of the World Cup. The decision is part of an arm wrestling match started by Heineken in March, accusing the beverage group of anti-competitive conduct and market exclusion.
The injunction signed by counselor Gustavo Augusto Freitas points out that Ambev’s existing contracts with beer outlets such as Skol and Brahma should be limited to 20% of the territory. This account will be made according to the size of each city where the contracts were signed. The decision also covers Heineken, a direct opponent in the Brazilian beer market.
Heineken even had the request rejected at the end of July, but appealed. After this Thursday’s decision, Ambev can still appeal.
In a note, Ambev says that it received the fact with surprise, especially after the decision of the General Superintendence of Cade concluded that there was no evidence of anti-competitive practices to impose a preventive measure. The group states that it will take the appropriate measures and that it respects Brazilian legislation.
Joana Cunha with Paulo Ricardo Martins and Diego Felix
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