Unilever
Thousands of schools as well as SMEs will be the beneficiaries of a multi-million rand consent agreement concluded between the Competition Commission and consumer goods company, Unilever.
In terms of the consent agreement confirmed by the Competition Tribunal, Unilever will pay an administrative penalty of R16 million without liability, for engaging in market division in the edible fats and oils industry between 2004 and 2012.
Another company, Sime Darby settled with the Competition Commission in 2016.
Commission spokesperson, Siyabulela Makunga, said further to the administrative penalty, Unilever will also establish an Enterprise and Supplier Development Fund worth R40 million.
“This fund will offer interest-free business loans to qualifying black-owned entities in the manufacturing, logistics, and wholesale industries in South Africa, provided they meet Unilever’s credit and selection criteria”.
“This includes support for black-owned manufacturing companies requiring start-up capital to enter the logistics, wholesale, and distribution,” he said.
Makunga also said that Unilever has committed to a range of initiatives as part of this agreement, including an increase in the aggregate annual value of its procurement of products and services from local entities by a minimum of R340 million over a four-year period.
"Additionally, Unilever will donate hygiene, disinfectant, and oral care products valued at R3 million to no fewer than 18,780 public schools over a period of five years," he said.
In welcoming the Tribunal's confirmation of the agreement, Commissioner Doris Tshepe said: "As we move forward, this agreement will go a long way in fostering healthy competition and driving positive change in South Africa's business landscape."
