Source: European Parliament
Territorial supply constraints can impede the good functioning of the Single Market to the detriment of consumers. They facilitate the maintenance of unjustified price differences between geographical markets in the EU for many products, including daily consumer goods.
Competition law is an effective tool to fight territorial supply constraints if these are imposed unilaterally by companies that are in a dominant position or if they result from anti-competitive agreements between companies.
This was demonstrated in the AB InBev and in Mondelez cases[1] where the Commission fined these companies for hindering the cross-border trade of certain products. However, territorial supply constraints may also occur outside these conditions.
For those territorial supply constraints which are not captured by competition law, the Commission has launched a fact-finding exercise with the Member States to map their occurrence across the EU.
In addition, as announced in the Retail Transition Pathway[2], the Commission will organise on 7 April 2025, a stakeholder dialogue with retailers, manufacturers and consumers to hear their views.
Against this background, the Commission will identify in the Single Market Strategy to be adopted at the end of May 2025 a way forward so that European consumers can enjoy the benefits of the Single Market, no matter where they reside.