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East Midlands Liberal DemocratsBill Newton Dunn and the Liberal Democrats - working for you across the East Midlands |
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Brussels says: Not always Coca Cola!
October 21, 2004 12:00 AM
Soft drinks manufacturer Coca-Cola has been ordered to free up its fridges in a deal to give East Midlands consumers more choice.
The European Commission had accused the giant US company of using its commercial strength to crush competitors by providing retailers with fridges - but not allowing any other brands to be kept in them.
Now, after a 5-year battle with Brussels, Coca-Cola has backed down, agreeing to scrap these marketing practices that have kept other carbonated soft drinks off the shelves.
The deal has been welcomed by East Midlands Liberal Democrat MEP Bill Newton Dunn, who says that consumers have for too long been denied a proper selection. He said:
"Over the years the situation has got worse and worse. Go into any local newsagent or garage now and it's almost impossible to find something to drink that's not one of the brands made by this company.
"It will no longer be 'always Coca Cola'. Consumers will now be able to choose from a wider selection of drinks.
"It has taken the power of the European Union to force one of the world's largest multinationals to back down."
The company has agreed to EU demands that retailers should be allowed to use 20% of the space in their cabinets to stock other drinks even if the chilling equipment has been provided by Coca-Cola. It will also no longer force retailers to buy its less popular brands, such as Sprite or Vanilla Coke, in return for being allowed to sell Coke regular or Fanta Orange.
The European Commission says that it will use its anti-trust powers to force Coca-Cola to pay huge fines if the company backtracks on the agreement.
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