The Venezuelan government has announced a ‘temporary occupation’ of a unit of Smurfit Kappa, the Irish-based paper company, saying that the group has ‘abused its dominant position' in the marketplace.
Sundde, the Venezuelan government’s price control agency, announced the occupation of the Carabobo facility yesterday (Tuesday 21 August) after an official inspection of the site.
It claims that Smurfit’s Carabobo site, which produces cardboard, has impacted national producers with its prices.
According to the government, ‘multiple complaints’ were made by Smurfit Kappa’s workforce and it ordered that the paper company immediately begin price adjustments for all its products.
A government spokesperson described Smurfit Kappa as "the most important cardboard production company in the country", claiming that its "speculative practices have a direct impact on the people".
The government claims that it is acting to ‘guarantee the success of public policies' issued by President Maduro.
No immediate comment was given by Smurfit Kappa, according to Reuters.
© 2018 Checkout – your source for the latest Irish retail news. Article by Aidan O’Sullivan. Click subscribe to sign up for the Checkout print edition.