Turkey’s Competition Authority has launched a sweeping antitrust investigation into nearly the entire national dairy sector, citing serious concerns over potential cartel-like behavior.
The move follows a preliminary inquiry into allegations of price-fixing, market sharing, and the exchange of competitively sensitive information in violation of Article 4 of the Law No. 4054 on the Protection of Competition.
The investigation, announced by the Turkish Competition Board on 8 May 2025 (Decision No. 25-14/316-M(1)), targets 56 undertakings across three critical segments of the industry: raw milk procurement, dairy cattle feed, and packaged milk and dairy product sales. Notably, the probe also includes the Packaged Milk and Dairy Products Industrialists’ Association, indicating the potential role of coordinated conduct through a trade group.
Scope of the Investigation
- Raw Milk Procurement Market:
39 dairy processors and cooperatives, along with the industry association, are under investigation. This includes prominent brands such as Ak Gıda, Danone Tikveşli, Sütaş, Pınar Süt, Eker, Teksüt, Yörsan, and Tahsildaroğlu. - Dairy Cattle Feed Market:
The probe also focuses on three major suppliers — Abalıoğlu Yem, Ak Gıda, and Pro Yem — whose pricing and supply practices may impact upstream costs and market dynamics. - Packaged Dairy Products Market:
Thirteen leading firms producing and distributing packaged milk and dairy products are named, including Danone, Ekiciler, Sütaş, Pınar Süt, Teksüt, and Yörükoğlu.
According to the Competition Authority, the collective behavior in these interrelated markets may have distorted competition and harmed both producers and consumers. The practices under scrutiny — alleged price coordination, geographic market allocation, and information exchanges — are considered core infringements under antitrust law and could lead to substantial administrative fines if confirmed.
Context and Market Background
The investigation coincides with notable growth in Turkey’s dairy sector. According to data from the Turkish Statistical Institute (TurkStat), milk collection by integrated dairies reached 1.015 million tonnes in March 2025 — a 13.2% increase from February and a 2.9% rise year-on-year. The production of key dairy goods also rose, with drinking milk, butter, and cheese posting moderate gains. However, yoghurt, ayran, and kefir saw slight declines in March output.
Despite these positive production trends, the allegations of collusive behavior raise concerns about whether consumers and dairy farmers are benefiting fairly from market growth.
Regulatory Perspective and Next Steps
The Competition Authority emphasized that the decision to initiate an investigation does not imply any firm has committed a violation. The probe will now proceed to the evidence-gathering phase, including document requests, interviews, and possibly dawn raids. If wrongdoing is established, companies could face significant fines — up to 10% of their annual revenues under Turkish law, Tarimdunyasi reported.
“This is a landmark investigation into a critical sector for Turkey’s economy and public welfare,” said a source close to the Authority. “If collusion is proven, the impact on dairy prices and supply chains could be substantial.”
Observers note the breadth of the probe reflects increased regulatory scrutiny of food markets amid inflation concerns and rising consumer advocacy.
No deadlines for conclusion have been announced, but cases of this scale typically span several months or longer. The Authority will issue public updates as the investigation progresses.