Lawsuit: Appeal to allow alleged victims of bread cartel to sue Premier is withdrawn

A GROUP of civil society organisations along with the Competition Commission have withdrawn their Constitutional Court appeal‚ which they had hoped would enable victims in the Western Cape bread price-fixing cartel to sue Premier Foods.

The Constitutional Court was expected to hear the matter on Tuesday but the parties withdrew their application last week.

They had planned to challenge a Supreme Court of Appeal (SCA) ruling that effectively let Premier Foods off the hook for its role in the 2006 bread cartel‚ by setting aside a declaration that opened it up to lawsuits.

Establishing a Modern Bakery

Bread is a major product of bakery and about the most demanded all over the world.  The implication of this is that demand for bread is automatic.  Consumption of bread cuts across all ages, gender and races.  Bread is taken virtually every minute. It can be taken as breakfast, or lunch or even as a dinner.  It is a ready-made food that does not demand further preparation, except for those who want to toast it.

Raw materials for bread production are readily available.  The major raw material is wheat flour, which is heavily imported into the country.