ISLAMABAD: The Competition Commission of Pakistan (CCP) has imposed fines of Rs. 5 million each on two transport associations for engaging in illegal freight rate fixing, a move that allegedly increased operational costs across multiple industries.
According to a decision announced by the CCP, the Transporters of Goods Association and the Local Goods Transport Association were found guilty of colluding to fix freight rates, violating provisions of the Competition Act, 2010.
The Commission noted that such cartel-like practices distorted competition in the market and led to higher transportation and production costs for various industrial sectors.
The associations have been instructed to submit the penalty within 30 days. Rejecting the associations’ plea for leniency, the CCP stated that ignorance of the law cannot be used as an excuse for violating competition rules. The decision further warned that failure to comply would result in an additional fine of Rs. 10,000 per day until the penalty is paid.
CCP Member Dr. Kabir Sidhu cautioned all trade bodies to avoid engaging in price fixing or exchanging sensitive commercial information, emphasizing that such actions undermine free market competition and harm consumers.
