On Wednesday, the world’s four largest fragrance suppliers were subject to raids as regulators launched a coordinated investigation into potential overcharging and other anti-competitive practices.
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Four major companies in the flavor and fragrance market — Firmenich and Givaudan of Switzerland, Symrise of Germany and International Flavors & Fragrances of the United States, who collectively possess an estimated 60% market share — are currently being investigated by antitrust authorities from Switzerland, the United Kingdom, the United States and the European Union for possible collusion.
“There are suspicions that [the companies] have co-ordinated their pricing policy, prohibited their competitors from supplying certain customers and limited the production of certain fragrances,” Swiss competition regulator Comco said on Wednesday. It added that the companies were presumed not guilty while the investigation was underway.
The global aroma industry, valued at €39bn in 2020 according to Euromonitor, produces chemicals used for various products including perfumes, toothpaste and detergents.
