ISLAMABAD: The Compe-tition Commission of Pakistan (CCP) Wednesday warned companies to stop marketing their products in an unfair and misleading manner to cultivate an environment where undertakings are encouraged to resort to marketing practices which are transparent and give consumers/customers true and correct information.

According to the enquiry report of the CCP issued in the matter of a complaint filed by a manufacturer of cattle feed against two other companies, it is important to acknowledge that deceptive marketing practices have a direct impact on competitors and public at large alike and therefore, it is in the interest of the general public and fair competition in the market that the undertakings be curtailed from marketing their products in an unfair and misleading manner, CCP report stated.

The CCP observed that it is necessary to cultivate and environment where undertakings are encouraged to resort to marketing practices which are transparent and give consumers/customers true and correct information, including the origin and nature of the products in the sense that, inter alia, who is the true manufacturer of the products. Therefore, in light of the above mentioned findings, it is recommended that the Commission may consider initiating proceedings against M/s Al-Hafeez Oil and M/s Muslim Corporations under Section 30 of the Competition Act.

M/s Nawaba Oil Industries (complainant) filed a complaint against these companies (Respondents), with the Competition Commission of Pakistan (the 'Commission') for alleged violation of Section 10 of the Competition Act, 2010 (the 'Act') pertaining to deceptive marketing practices. It has been alleged in the complaint that the Complainant is involved in manufacturing and selling of cattle feed such as "khal banola" and "wanda" as well as seeds since 2001. The respondent companies have copied/imitated the registered trademark and copyrighted packaging/trade dress of the Complainant, and by doing so has distorted healthy competition in the market.

The evidence so obtained in the process of this enquiry has been analyzed and its appears that the respondent companies are involved in fraudulent use of the complainant's trademark, product labeling and packaging/trade dress, which amounts to, prima facie, violation of section 10(1) of the Act, read with sub-Sections 10(2)(a) and 10(2)(d) of the Act.

Copyright Business Recorder, 2020