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Brazil: Tecon Suape convicted of abusing its dominant position

By  |  October 23, 2019

In the judgment session held last Wednesday, October 16, the Administrative Council for Economic Defense (Cade) condemned the company Tecon Suape for abuse of dominance in the container warehouse market.

The case began in 2017 with a complaint filed by SUATA (Unified Warehousing and Bonded Terminal Service) and Atlântico Terminais. The companies accused Tecon Suape of anticompetitive conduct for imposing, beyond the basic box rate, an additional fee known as ISPS (International Ship & Port Facility Security), for recovering investments and equipment maintenance required by the International ISPS Code.

Tecon acts on a monopoly regime in the Suape Port operations. Additionally, it offers bonded warehousing services to importers and exporters. This activity competes directly with the warehouse companies outside of the port zone, such as Suata and Atlântico.

Full Content: CADE

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