UAE busts poultry price-fixing cartel, refers case to prosecution

Dubai: The Ministry of Economy and Tourism has referred a cartel involved in anti-competitive practices in the poultry market to the federal public prosecution to initiate investigations and take the necessary legal measures, according to the Emirates News Agency (WAM).

The ministry said evidence had confirmed the group was involved in exploiting current exceptional conditions by coordinating to fix and manipulate poultry prices and raise them without justification, in clear violation of applicable legislation, particularly the competition law and consumer protection law. 

Such practices, it noted, constitute a direct infringement on consumer rights and pose a threat to market stability at a time when maintaining price balance and supply continuity remains a national priority.

The move is part of ongoing and intensified inspection campaigns carried out in cooperation with relevant authorities, which have seen a marked increase in recent weeks. These efforts, the ministry said, are aimed at strengthening market oversight, ensuring compliance among retailers, and reinforcing confidence in the regulatory environment.

The UAE’s competition law provides a comprehensive framework to combat monopolistic behaviour and unlawful economic collusion, empowering the ministry to gather evidence, investigate violations, and take action either in response to complaints or on its own initiative.

Under Article 5 of the law, agreements between businesses are strictly prohibited if their objective or effect is to distort, restrict or prevent competition. This includes direct or indirect price-fixing, artificial inflation or suppression of prices, and any coordination that undermines market mechanisms. 

The ban also extends to setting conditions for the sale or purchase of goods and services, collusion in tenders and bids, and agreements to limit or freeze production, distribution, development or marketing activities.

Authorities further highlighted that prohibited practices include coordinated boycotts of specific companies, obstructing their operations, or restricting the free flow of goods and services in the market. This can involve hoarding, unjustified stockpiling, withholding products, or creating artificial supply conditions that lead to unrealistic pricing, all of which are considered serious violations with broad economic implications.

The ministry stressed that the risks associated with such practices go beyond legal breaches, particularly when they coincide with exceptional regional conditions, as they may directly impact the country’s food and economic security. 

Poultry is among nine essential consumer goods subject to strict pricing controls under Cabinet Resolution No. 120 of 2022, alongside staples such as cooking oil, eggs, dairy products, rice, sugar, bread, wheat and legumes, and cannot be subject to price increases without prior approval.

Reaffirming the strength of the UAE’s legislative and regulatory framework, the ministry said it is committed to maintaining a balanced relationship between traders and consumers, ensuring fair pricing, and preserving the stability and resilience of national markets. 

It added that it would continue to monitor market movements closely, analyse pricing trends, and detect any attempts at collusion or manipulation, taking action in line with applicable laws, including administrative penalties, fines and referrals to the public prosecution where necessary.

The ministry also called on the public to report any suspected violations, including price manipulation, shortages, hoarding or fraudulent practices, through its consumer hotline or local authority channels, to enable swift legal action. 

Between February 28 and April 19, 2026, more than 15,480 inspection visits were conducted nationwide in cooperation with local economic departments, resulting in the detection of 312 violations, most notably unjustified price increases, and the issuance of 1,005 warnings, as part of ongoing efforts to protect consumers and ensure the continuous availability of essential goods at fair prices.