CCP ISSUES SHOW CAUSE NOTICES TO TWO COMPANIES FOR DECEPTIVE MARKETING PRACTICES

ISLAMABAD: The Competition Commission of Pakistan (CCP) has issued Show Cause Notices to S.M. Food Makers Limited and Volka Food International Limited for deceptively copying the trademark/trade dress of various products of Ismail Industries Limited, thus prima facie violating of Section 10 of the Competition Act.

Ismail Industries Limited sent a formal complaint alleging that the S.M. Food Makers and Volka Food were fraudulently copying the trademark and packaging/labelling of its famous brands, Chili Mili, ABC Jelly, Yums, Chocolate Chip, Butter Scotch and Peanut Cookies.

The CCP’s enquiry concluded that, prima facie, S.M. Food Makers was fraudulently using registered trademarks and packaging/labelling of the abovementioned products of Ismail Industries. Volka Food was also fraudulently using the trademarks and packaging/labelling of Chocolate Chip, a product of Ismail Industries product. These practices were potentially harming the business interest of Ismail Industries besides misleading the consumers.

On recommendations of the enquiry report, a show cause notice has been served on S.M. Food Makers and Volka Food and both the companies have been directed to respond in writing within fourteen days and to appear before the Commission (via video conferencing due to COVID-19 health advisory).

CCP is mandated under the Competition Act to ensure free competition in all spheres of commercial and economic activity, to enhance economic efficiency and to protect consumers from anti-competitive practices including deceptive marketing practices.

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