Quantifying Cartel Duration Using DG Comp Case Reports (Work in Progress) By Oindrila De Centre for Competition Policy DG Competition Data Workshop, ACLE 2008

Structure of This Presentation EC Cartel Database Some General Characteristics of EC Prosecuted Cartels Some Preliminary Data on Duration of EC Cartels Concluding Remarks and Way Forward

EC Cartel Database Database contains EC Cartel Cases from Data Source: Competition Commission’s decisions from EC Official Journals and CFI and ECJ judgements Included cases under Article 81 (1), re-adoptions, exemptions under 81 (3) and negative clearance, their renewals and cases under ECSC treaty 98 total cases in the database (3 re-adopted cases).

EC Cartel Database: Types of Decisions CategoryNumber of Cases Exemption Without Conditions/ Obligations5 Exemption With Conditions/ Obligations9 Infringement Art. 65 ECSC treaty5 Infringement Art.81 with fine64 Infringement Art.81 without fine9 Infringement Art.81 with fine and Infringement Art. 826

EC Cartel Database: Reasons to Initiate Proceedings

Characteristics of EC Cartels: Industry Classification

Characteristics of EC Cartels: Category of Undertakings CategoryNumber of Cases Undertakings Only76 Undertakings and Association (s) of Undertakings7 Association (s) of Undertakings Only15

Characteristics of EC Cartels: Number of Undertakings

Characteristics of EC Cartels: Cartels’ Market Coverage

Characteristics of EC Cartels: Types of Agreements CategoryNumber of Cases Price Fixing Only28 Market sharing only17 Price fixing and market sharing only14 Neither Price fixing nor market sharing1 Price fixing and other supplementary agreements10 Market sharing and other supplementary agreements7 Price fixing, market sharing and other supplementary agreements 21

Characteristics of EC Cartels: Types of Supplementary Agreements CategoryNumber of Cases Information Exchange Agreement28 Horizontal Restrictions7 Supply Restrictions5 Capacity Restrictions4 Collective Exclusive Dealing2

Characteristics of EC Cartels: Ring leader and Market leader Ring leader19 Market leader as Ring leader13 Ring leader but not Market Leader1 Market leader but not Ring leader25

Duration: Proven Duration of EC Cartels

Duration: Information on Suspected Duration CategoryNumber of Cases Suspected Duration date mentioned21 Suspected Duration date not mentioned68 Suspected but exact date not mentioned9

Duration: Proven vis-à-vis Suspected Duration

Duration: Different Dimensions of Duration DurationNumber of Cases Different members with different duration36 Different sub-agreements with different duration6 Different sub-product markets with different duration3 Different geographic markets with different duration1

Duration: Entry into and Exit from the Cartel Entry/ ExitNumber of Cases Entry into Cartels32 Exit from the Cartel28 Both Entry and Exit23

Duration and Number of Undertakings

Duration and Cartels’ Coverage

Average Duration and Number of Agreements Number of AgreementsNumber of CasesAverage Duration Single Two Three Four111 Five17

Way Forward Adding Variables (e.g. demand, merger etc) Multivariate analysis of duration Survival analysis