CMA Initiates Probe into Perfumes and Scent Components

The Competition and Markets Authority (CMA) has grounds to suspect anti-competitive behavior involving suppliers of fragrances and fragrance ingredients used in consumer products like household and personal care items.

The companies currently under investigation by the CMA include: Firmenich International SA, Givaudan SA, International Flavours & Fragrances Inc, and Symrise AG.

The CMA has been in discussions with the US Department of Justice’s Antitrust Division, the European Commission, and the Swiss Competition Commission regarding this issue. This investigation was initiated in consultation with those agencies.

After a thorough period of investigation and data collection, the CMA may release a statement of objections if it reaches a preliminary conclusion that competition law has been violated. At this point, it is premature to assert whether competition law has been breached.

More details on the CMA’s investigation procedures in competition cases can be found in its guidance, and further updates regarding this investigation will be posted on the Suspected anti-competitive conduct in relation to fragrances and fragrance ingredients case page.

Notes to editors

1. The competition legislation relevant to the CMA’s investigation is the Competition Act 1998. The Chapter I prohibition of the Competition Act 1998 forbids agreements, coordinated practices, and decisions by associations of undertakings that aim to prevent, limit, or distort competition within the UK or any part thereof and that may impact trade within the UK or a segment of it unless exemptions apply.
2. As with all its activities, the CMA will conduct this investigation expediently while ensuring a thorough review and respecting the rights of parties involved. There is no legal timeframe to conclude inquiries under the Competition Act 1998.
3. Under the CMA’s leniency policy, a business involved in specific types of anti-competitive conduct may be granted immunity from penalties or a significant reduction in penalties in exchange for reporting cartel activities and assisting the CMA in its investigation. Individuals involved in cartel activities may also receive immunity from criminal prosecution for cartel offenses under the Enterprise Act 2002 as well as exemptions from director disqualification. The CMA also has a rewards policy that may provide financial rewards of up to £100,000 for information that aids in identifying and taking action against illegal cartels. More information is available on the CMA’s leniency policy and the CMA’s informant reward policy.
4. Anyone with information about a cartel is encouraged to contact the CMA cartels hotline at 020 3738 6888 or to email cartelshotline@cma.gov.uk.
5. All media inquiries should be directed to the CMA press office via email at press@cma.gov.uk or by phone at 020 3738 6460.
6. General public inquiries should be directed to the CMA’s General Enquiries team at general.enquiries@cma.gov.uk or by calling 020 3738 6000.