AdC fines company for abuse of dominant position in the Madeira banana trading sector
Press Release 09/2025
August 13, 2025
The AdC has sanctioned a company for abusing its dominant position in the market for the collection, distribution and commercialisation of Madeira bananas.
The undertaking cooperated actively with the AdC under a settlement procedure, by waiving its right to contest the infringement, ceasing the conduct and beginning the voluntary payment of the fine.
Background
On 7 August 2024, the AdC issued a recommendation to the Autonomous Region of Madeira (RAM), proposing measures aimed at removing legal barriers to entry and improving the diversity of companies operating in the Madeira banana sector, particularly in the commercialisation stage. The objective was also to contribute to public policy measures that would enhance market contestability, thereby influencing pricing, product quality and variety, as well as incentives for efficiency and innovation.
Following this recommendation and the AdC’s ongoing market monitoring, behaviours likely to constitute anticompetitive practices were identified.
The restrictive practice
The conduct in question involved requiring Madeira banana producers to sign exclusivity declarations, which infringes Article 11 of the Portuguese Competition Act and Article 102 of the Treaty on the Functioning of the European Union (TFEU). These practices have been taking place at least since January 2025.
In the AdC’s assessment, these behaviours distort the competitive process by imposing conditions on producers that serve to maintain the undertaking’s dominant position in the market, thereby hindering effective competition.
The Portuguese Competition Act prohibits “the abusive exploitation, by one or more undertakings, of a dominant position in the national market or a substantial part of it.”
For more information on the case (ref. PRC/2025/6), please consult the AdC’s website.
Settlement procedure
The fine imposed was reduced to reflect the company’s participation in the settlement procedure and the cooperative stance it adopted throughout the proceedings.
The settlement procedure allows for significant procedural efficiencies while ensuring that undertakings involved in competition infringements are duly sanctioned.
In July 2024, the AdC adopted rules governing settlement proceedings, setting out the procedures followed by the Authority in this context, with a view to fostering enhanced cooperation between the AdC and the parties concerned.