Kazakhstan: Subsidiary of Russian KDV Group Under Investigation for Suspected Price Manipulation

KDV Kazakhstan LLP, the Kazakh branch of the Russian holding KDV Group, is under investigation for potential price manipulation, Orda.kz reports.

Kazakhstan’s Agency for the Protection and Development of Competition (APDC) is conducting the inquiry. Authorities suspect the company of engaging in price discrimination and violating national antimonopoly legislation.

According to the agency, KDV Kazakhstan allegedly offered identical confectionery products at varying prices and terms, prompting the antitrust review.

The antimonopoly authority has already sent a notice to KDV Kazakhstan LLP with a proposal to voluntarily eliminate the identified signs of violation. However, the company ignored it, which served as the basis for initiating an investigation,
 APDC stated.

KDV Kazakhstan operates as part of the larger Russian food conglomerate KDV Group, which owns 15 manufacturing facilities and produces over 700 product types. These include popular brands like Kirieshki, Babkiny Semechki, Chipsony, Yashkino, 3 Korochki, and Beerka.

The company exports to Kazakhstan and other CIS countries.

Russian businessman Denis Shtengelov founded KDV Group. As of 2023, Forbes estimated his net worth at around $1.3 billion.

In Russia, KDV Group has also faced scrutiny. Two years ago, authorities launched a case against two poultry farms owned by the group for allegedly abusing a dominant market position.

Original Author: Alina Pak