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The Commission initiates proceedings due to suspicion of rigged public procurement

kzkThe Commission for the Protection of Competition has instituted proceedings against the market participants AP SIDRO d.o.o. Novi Beograd, WESTOM GLOBAL d.o.o. Belgrade, and CCC INDUSTRIAL ENGINEERING d.o.o. Belgrade–Zvezdara, based on a well-founded presumption that, through collusive conduct in public procurement procedures carried out by the contracting authority Joint Stock Company Elektroprivreda Srbije (EPS), they have infringed competition within the meaning of Article 10 of the Law on the Protection of Competition.

Simultaneously with the initiation of the procedure, the authorized officials of the Commission for the Protection of Competition carried out a dawn raid at three locations and collected relevant documentation for establishing the facts in this procedure.
The Commission received an initiative to examine a possible infringement of competition, upon which it established a well-founded presumption that the companies concerned had coordinated their conduct both before and after the opening of bids in the public procurement procedures conducted by EPS.

According to the allegations set out in the initiative, one of the participants in the potential restrictive agreement submitted a bid whose value was slightly below the estimated value of the public procurement and which, in all respects, constituted an acceptable bid, while the other members of the potential restrictive agreement submitted bids with successively lower prices (a high-priced bid by SIDRO, a mid-priced bid by CCC, and a low-priced bid by WESTOM), which, however, contained arithmetic errors (the discrepancies in some cases amounting to only a few dinars). The contracting authority (EPS), pursuant to the Law on Public Procurement, is required to request that the bidder consent to the correction of any arithmetic error and, should the bidder refuse to accept such correction, to reject the bid. In the present proceedings, where no bids were submitted other than those of the participants in the potential restrictive agreement, all bidders whose submissions contained arithmetic errors failed to provide consent for the correction of such errors, thereby rendering their bids inadmissible. As a result, the contracting authority, pursuant to the Law on Public Procurement, was obliged to conclude the contract with the bidder that had submitted the highest bid, as it remained the sole acceptable bid. Where other bidders participate in the specific public procurement procedure, a bidder offering a price lower than that of a bidder not party to the restrictive agreement provides consent to the correction of any arithmetic errors, thereby rendering their bid the most advantageous. The companies SIDRO, WESTOM, and CCC offer identical goods, that is, goods from the same manufacturer, but at different prices.

Based on the foregoing, the Commission has a well-founded presumption that the aforementioned companies infringed competition by concluding a restrictive agreement within the meaning of Article 10 of the Law on the Protection of Competition.

All persons having data, documents or other relevant information that may be significant for determining the factual situation in this procedure, are hereby invited to submit them to the Commission for Protection of Competition,at 25 Bulevar kralja Aleksandra II Karađorđevića, Belgrade.

Competition Panel at the 2025 Regional Legal Business Forum – “The Role of Competition Authorities: Supervision or Regulation?”

kzk-ekofSiniša Milošević, Member of the Council of the Commission for the Protection of Competition, took part as a panelist on competition policy at the Regional Legal Business Forum 2025, the leading annual event for corporate lawyers in the region, held this year in Zlatibor.

The discussion on the competition protection panel addressed the position, mandate, and key challenges confronting competition authorities in the region. The organizers highlighted the topic, “The Role of Competition Authorities: Supervision or Regulation?” as particularly timely, reflecting ongoing public debates about the extent to which competition authorities can intervene in markets—such as setting margins or prices—and whether such actions fall within their mandate. The panel also examined whether these bodies primarily regulate or supervise markets, whether they perform a single or multiple functions, and the extent to which they can address specific market inefficiencies.

Despite ongoing efforts to advance competition law, competition authorities are frequently subject to public criticism for matters beyond their mandate, often accompanied by unrealistic or unfounded expectations and inaccurate information regarding their activities and procedural timelines. The panel thus offered an excellent opportunity to address such issues directly with institutional representatives and to promote a deeper understanding of the significance of competition protection.

The panel also featured the participation of: The panel featured Karolina Andonovska, Secretary General of the Competition Commission of the Republic of North Macedonia; Dr. Nebojša Jovović, Director of the Agency for the Protection of Competition of the Republic of Montenegro; and Vanja Malidžan, Member of the Competition Council of Bosnia and Herzegovina. The discussion was moderated by Zoran Šoljaga, Partner at the law firm Moravčević, Vojnović & Partners.

The three-day gathering, organized by the Association of Corporate Lawyers of Serbia in strategic partnership with the Chamber of Commerce and Industry of Serbia, drew over 500 participants from the region. The attendees included 50 panellists, more than 400 corporate lawyers, heads of legal departments, attorneys, judges, notaries, as well as representatives from state institutions and the academic community.

Commission Concludes Proceedings and Imposes Measures on Metabo Centar and Kapro Industries LTD

kzkFollowing an ex officio investigation into a potential infringement of competition law, initiated on April 4, 2024, against Metabo Centar Kragujevac and KAPRO INDUSTRIES LTD, Israel, the Commission determined that the aforementioned undertakings entered into a restrictive agreement with the objective of substantially restricting, distorting, and preventing competition, as set forth under Article 10. Consequently, the Commission has adopted appropriate measures to safeguard competition.

The proceedings were initiated upon receipt of information indicating that Metabo Centar Kragujevac, acting as the importer of mechanical and laser measuring instruments manufactured by Kapro, exerted pressure—through the manufacturer KAPRO INDUSTRIES LTD of Israel—on suppliers of Kapro-branded tools who serve other market participants in the Republic of Serbia, compelling them to discontinue their deliveries. This conduct effectively resulted in the elimination of competition within the wholesale market for these tools.

Based on the aforesaid, the Commission has reasonably concluded that Metabo Centar and Kapro Israel engaged in practices aimed at, or having the effect of, eliminating competition against Metabo Centar in the wholesale distribution of Kapro-branded tools within the Republic of Serbia. This conduct resulted in a significant reduction of market alternatives, compelling purchasers to pay inflated prices for these tools compared to what would have been possible had multiple distributors been available.

It was further determined that the agreements entered into by Metabo Centar Kragujevac with its customers contained clauses prohibiting the resale of Kapro-branded tools below their purchase price. Such restrictions may function as a mechanism to hinder imports, thereby preserving the pricing of Kapro tools at a controlled level. Furthermore, this practice constitutes an independent infringement of competition law through the imposition of minimum resale prices.

Consultation on Business Compliance with Competition Rules

kzk-ekofRepresentatives of the Commission for the Protection of Competition participated in a consultation held in Belgrade, organized by the Association of Corporate Lawyers in cooperation with the Chamber of Commerce and Industry of Serbia (PKS).

The topic was “Business Compliance with Competition Protection Regulations,” during which members of the association discussed the legal framework, the objectives of competition protection rules, the institutional setup, and the jurisdiction of the Commission for the Protection of Competition. The discussion also covered specific competition-related risks that should be identified and avoided in the compliance process, the importance of ensuring compliance, and the guidelines for developing compliance programs with competition protection regulations — introduced by the Commission at the end of 2021.

This consultation is part of the Commission’s ongoing efforts to raise awareness among market participants about the need for and methods of achieving compliance with competition protection regulations.

Seminar on Pro-Competitive Regulation

kzk-ekofOn October 8, 2025, the National Academy for Public Administration in Belgrade hosted a seminar dedicated to pro-competitive regulation.

With Serbia’s regulatory landscape constantly evolving, the demand for clear and effective pro-competitive policies is growing. Experts from the European Union led the event, sharing insights on how to improve current regulations and develop new ones that foster market competitiveness and encourage fair competition. Key topics covered during the seminar included:

Identifying regulatory obstacles that hinder competition
Enhancing collaboration between regulatory and supervisory bodies and legislative institutions
Promoting a more competitive Serbian market through regulations that protect consumers, safeguard the market, and strengthen the economy
This event was held within the framework of the “EU Support for the Development of Serbia’s Internal Market” (EU4IM) project, which aims to reinforce Serbian institutions and harmonize domestic legislation with EU market standards. The project is being implemented by FIAP from Spain, in partnership with the Slovak Development Agency for Cooperation (AICS).

Donation Agreement Signed for Advanced Forensic Software

kzk-ekofThe Commission for Protection of Competition and the International and Ibero-American Foundation for Administration and Public Policies (FIAP), a public agency of the Kingdom of Spain, have signed an agreement on the donation of advanced forensic software.
The donation was made within the framework of the project “EU Support to Serbia’s Internal Market,” funded under the European Union’s IPA III instrument. Within this initiative, FIAP (Fundación Internacional y para Iberoamérica de Administración y Políticas Públicas, F.S.P.) serves as the Commission’s main project partner.

The deployment of this forensic software will further strengthen the Commission’s operational capacity to conduct dawn raids and, consequently, to detect and substantiate infringement of competition law. This enhancement is particularly important in light of the increasingly dynamic nature of market structures and business models, many of which are transitioning into the digital domain.

The Commission continuously monitors developments in both domestic and global competition policy and remains committed to enhancing its technical resources and professional expertise. Through strategic partnerships and the adoption of state-of-the-art technologies, the Commission seeks to ensure the effective enforcement of competition rules in a rapidly evolving market environment.

NOTICE – CHANGE OF ADDRESS OF THE COMMISSION FOR PROTECTION OF COMPETITION

We hereby inform all interested parties that, pursuant to the Decision of the City Assembly of Belgrade on the renaming of Savska Street to Bulevar Kralja Aleksandra I Karađorđevića, the new address for the submission and receipt of mail to the Commission for Protection of Competition is:

Commission for Protection of Competition
Bulevar Kralja Aleksandra I Karađorđevića No. 25/IV
11000 Belgrade

All other contact information and procedural details remain valid and unchanged.

Sectoral Analysis of the Competitive Landscape in the Private Healthcare Services Market

kzkBased on Article 47 of the Law on Protection of Competition and the Decision of the Council, the Commission conducted a sectoral analysis of the state and competitive conditions in the private healthcare services market within specific types of healthcare institutions for the period from 2019 to 2023.

The analysis aimed to examine the relationships between the key competitors in the private healthcare services market, including general hospitals and health centers, as well as the dynamics between private healthcare providers and insurance companies, through a detailed review of their contractual agreements and the regulatory framework governing the market.

The primary goal of the sectoral analysis was to assess and analyze the state of competition in the relevant market, highlighting potential issues related to the distortion or any other form of restriction of competition.

An integral part of the Report on the Sectoral Analysis of the State and Competitive Conditions in the Private Healthcare Services Market within Specific Types of Private Healthcare Institutions includes the derived conclusions and recommendations.

The Commission hereby wishes to extend its gratitude to all undertakings that provided the requested data during the analysis.

(Serbian version only)

Commission at the Anniversary Conference of the Regional Competition Center (RCC) in Budapest

kzk-ekofThe Regional Competition Center was established in Budapest in 2005 by the Organisation for Economic Co-operation and Development (OECD) and the Hungarian Competition Authority (GVH) with the objective of strengthening expertise in competition law and policy. Through the organization of workshops and educational programs, the Center provides support to competition authorities across Eastern and Southeastern Europe, as well as Central Asia.

The Commission for Protection of Competition of the Republic of Serbia has been a permanent participant in the activities of the Center since 2007.
Since its inception, the Regional Competition Center has organized 158 events, gathering nearly 5,700 participants and more than 1,000 speakers who have contributed their expertise and insights. At present, the Center engages competition authorities from 17 countries across Southeastern Europe and Central Asia.

The conference was attended by distinguished guests, including Benoît Cœuré, President of the French Competition Authority and Chair of the OECD Competition Committee, as well as Carmine Di Noia, Director for Financial and Enterprise Affairs at the OECD. The Commission for Protection of Competition was represented by Council Member Miroslava Đošić and Senior Advisor Jelena Grahovac.

Commission Submits Proposals for Four New Regulations for Adoption

kzkAfter obtaining the necessary opinions and completing the legal and technical review, the Commission for Protection of Competition has submitted to the Government of the Republic of Serbia four new regulations for adoption, addressing the exemption of agreements from prohibition:

- Proposal for a Regulation on Categories of Vertical Agreements Exempted from the Prohibition of Restrictive Agreements
- Proposal for a Regulation on Categories of Vertical Agreements in the Motor Vehicle Sector Exempted from the Prohibition of Restrictive Agreements
- Proposal for a Regulation on Categories of Technology Transfer Agreements Exempted from the Prohibition of Restrictive Agreements
- Proposal for a Regulation on Categories of Agreements in the Railway and Road Transport Sector Exempted from the Prohibition of Restrictive Agreements