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TRADE - October 1 to October 15, 2004

EU FINES HEINEKEN, DANONE OVER CARTEL

BRUSSELS, Belgium - The European Union has fined French dairy Groupe Danone and Dutch beer giant Heineken NV about $3 million for colluding to control the wholesale beer market in France.
The European Commission fined Danone $1.8 million and Heineken $1.2 million in a case that dates back to 1996.

Danone - through its brewery Brasseries Kronenbourg - then controlled a 40% share of the French market and Heineken 30%.

The two were involved in a battle to acquire beverage wholesalers to strengthen their distribution networks in the hotel, restaurant and cafe markets.
 
In March 1996, the companies agreed to an "armistice" to control costs. As part of the agreement, Danone and Heineken agreed to temporarily stop acquisitions and distribute equal volumes of total and branded beers through their networks.

The market-sharing deal was never put into place, which the commission took into account when determining the fines.

Danone had been fined in 1984 for market sharing agreements.

MEXICO RECORDS RECORD EXPORT FIGURES

MEXICO CITY, Mexico - Mexican exports jumped 27.3% in August compared to a year ago, their fastest such growth rate this year, as booming manufacturing trade with the US fueled an economic recovery.

Exports in August were $17 billion, mainly due to manufacturing and agricultural products, according to preliminary data released recently by the Finance Ministry.

Imports also jumped 27%, to $18 billion. The trade deficit for the month was $589 million.
Mexico sends about 90% of its exports to the US, and growing demand is expected to help Mexico's economy grow by about 4% this year.

Manufacturing is driving a recovery in Mexico's economy after three years of stagnating growth.

Exports of manufactured goods, largely from maquiladora assembly plants, rose 26% compared to the same month in 2003. Agricultural exports jumped 36% in the same month.

Imports of so-called intermediate goods - parts for the manufacturing industry - rose  28.4% in August compared to the same period last year. Imports of consumer goods rose 28.1%.
 
CHINA CRACKS DOWN ON DESIGNER BRAND SALES

BEIJING, China - Vendors in China who sell designer brands at markets, whether legal or imitation, may face legal action.
 
Regardless of whether vendors have genuine goods or counterfeits, Li Dongsheng, vice director of the State General Administration for Industry and Commerce, told the Xinhua News Agency that the vendors "might face criminal charges for intellectual property violation."
 
Li said Chinese authorities issued the ban at the request of the foreign brand copyrights holders, who have promised they will not provide genuine goods to places other than authorized chain stores.
 
In the meantime, Li said he has asked consumers not to buy goods with brands names at markets.

He also "encouraged" them to report any violations to the state administration via a recently created telephone hotline.

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