Commission for Protection of the Competition of North Macedonia strengthens oversight of food supply chain and food retail sector

Antitrust dawn raids at retail chains

In February 2025, the CPC conducted dawn raids at four supermarket chains and one business chamber. The raids were prompted by suspicions that the retailers were engaging in coordinated practices restricting market competition. Specifically, the investigation focused on whether retailers collectively agreed not to source products from suppliers introducing new price lists, potentially constituting a restrictive agreement under the Competition Act.

As part of the investigation process, the CPC reviewed internal documents and electronic communications, uncovering evidence of a concerted decision to restrict product procurement, which led to the initiation of misdemeanour proceedings.

UTP enforcement against two retail chains

On 10 March 2025, the CPC announced the initiation of legal proceedings against two supermarket chains for failing to comply with the UTP. The proceedings were initiated based on collected data indicating that the companies, which operate retail networks for agricultural and food products in North Macedonia, had violated the law. If the violations are confirmed, significant fines could be imposed on both the companies and their responsible executives in accordance with applicable legal provisions.

A sector-wide investigation on the horizon?

With these recent developments, the regulatory scrutiny is expected to expand beyond the retail sector. Given the CPC's recent actions, the investigations could potentially extend beyond retail chains to cover the entire food supply chain, including suppliers and wholesalers. Additionally, the authorities may consider launching a sector inquiry, like those conducted in the wider region, to comprehensively assess market practices and identify potential systemic violations.

What companies should do now

In light of the CPC's intensified enforcement efforts, all companies operating within the food supply chain – including retailers, wholesalers and suppliers – should proactively review their commercial policies to ensure compliance with competition regulations. Key steps include:

• conducting internal compliance audits to identify and mitigate potential competition risks;
• reviewing agreements and pricing policies to ensure compliance with the Competition Act and the UTP; and
• training employees and executives on fair competition practices to avoid inadvertent breaches and to prepare them for potential dawn raids by the CPC.

The CPC's recent enforcement actions signal a shift in approach following the appointment of its new composition. They reflect an increased focus on detecting and sanctioning Competition Act and UTP violations. As a result, businesses should expect heightened regulatory scrutiny and stricter enforcement, marking a departure from the previously more lenient oversight.

authors: Filip Zafirovski, Zoran Soljaga