In March eleven chicory producer organisations received a fine of 3.6 million Euro because of a price cartel over the last 14 years. Seven associations and trade unions, amongst which the National Federation of Chicory Growers and the associations of producers organisations Celnord and Cérafel- will have to pay an amount of 360,000 Euro.
The organisations gave notice of appeal and on 26 June in Paris agreed to the respite. According to the court the penalty will have very serious results for the chicory sector. The fine does not need to be paid at the moment and in any case not until such time of a judgement from a higher court. Only Phalempin, which had received the highest fine of 1.1 million will have to pay 5% of the fine, which is Euro 60,000.
The chairman of the French chicory union, Daniel Bouquillon, although relieved, is still worried. "If we still have to pay the fine many activities will come to an end. During the days after the conviction there was talk both about selling and a decrease in price. Agriculturists did not want to continue growing chicory. In 2012-2013 there will be 600 HA less from the 8,000. Also we have already spent 390,000 Euro on lawyers."
At the request of the chicory growers the information authority will supply new
conclusions on 31 October. "We hope for clarification of the competition laws on the national and European level. At the moment we are not sure what our rights are. We must be able to place the outlook in order to optimize production, whether it is about the chicory branch of other branches of fruit and vegetables."