Competition Bureau Concludes Nova Scotia Snow Crab Inquiry

OTTAWA, October 10, 2003 — The Competition Bureau announced today that after a detailed examination of the snow crab market in Nova Scotia, it found that seafood processors did not violate the Competition Act during the 2001 snow crab fishing season.

Following complaints received in July 2001, the Bureau started an inquiry into allegations that a number of seafood processors in New Brunswick and Nova Scotia conspired to fix the shore price paid to fishermen for snow crab caught in Nova Scotia during the 2001 fishing season. The allegations were examined under the conspiracy provision, section 45, of the Competition Act. In order for there to be a contravention of that section of the Act, the evidence must establish that there was an agreement between the parties to the conspiracy, and that the agreement, if implemented, would lessen competition unduly. The Bureau found that had the seafood processors agreed to fix the price paid for snow crab, they did not possess sufficient control over the market to unduly lessen competition.

The Bureau recognizes that this industry continues to evolve. It will continue to monitor the industry and respond to any future complaints.

The Competition Bureau is an independent law enforcement agency that ensures all Canadians enjoy the benefits of a fair and competitive economy, low prices, product choice and quality service. It oversees the application of the Competition Act, the Consumer Packaging and Labelling Act, the Textile Labelling Act and the Precious Metals Marking Act.

For media enquiries, please contact:
André Leclair
Senior Communications Advisor
Communications Branch
819-953-4257 or 613-290-1583 (cell.)

For general enquiries, please contact:
Information Centre
Competition Bureau
819-997-4282
1-800-348-5358