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GC ALERT | Cofece launches investigation of barriers to competition and essential inputs in the retail e-commerce market in Mexico.

On March 31st, 2022, the Federal Economic Competition Commission (“Cofece”) published in the Federal Official Gazette an extract of the official communication by which it announced the beginning of an investigation in the retail e-commerce market in Mexico. The aim of this investigation is to determine the possible existence of barriers to competition and/ or essential inputs that could generate anti-competitive effects.

The purpose of this type of investigation is not to sanction unlawful conduct, but rather to eliminate structural barriers, or to open access to essential inputs preventing competition and free market access.

Barriers to competition are structural characteristics, legal provisions and/or acts, that hinder access of competitors, limit their ability to compete or distort the competition process.

On the other hand, an essential input is an irreplaceable and indispensable element for the production or provision of goods and services.

Cofece’s Investigative Authority has a period of approximately two and a half years to carry out the investigation. If sufficient evidence is found to determine the existence of barriers to competition and/or essential inputs, Cofece may order the suppression of barriers, access to inputs, and issue recommendations to the corresponding public authorities.

Read the official communication here.

Gonzalez Calvillo advises a wide variety of national and multinational companies across different industries, either as investigated agents or as third parties, in some of the most representative investigations for barriers to competition and/or essential inputs in the last few years.

Click here to read the PDF version.

About Gonzalez Calvillo

For over 30 years, Gonzalez Calvillo has been at the forefront of the legal market in Mexico as a full-service leading law firm due to its transactional core and expertise in a wide range of practice areas. The firm is recognized for its ability to build cross-disciplinary teams for the most complex legal challenges and long track record of successfully providing groundbreaking business and regulatory advice to high-profile domestic and international companies. Often described as a pioneer of the Mexican legal services industry, the firm is known for its commitment to do things differently, bespoke solutions, and creating transformational legal changes that enable clients to achieve their objectives.

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