Brussels, 10/12/2004 (Agence Europe) - The European Commission has approved the acquisition of Schils, specialised in dairy products, by Van Drie, another Dutch company operating in veal production. Schils, whose veal production and fattening activities are restricted to Belgium, is mainly active in the production and the sale of milk substitutes and powdered milk, while Van Drie, also present in these sectors, is a major European player, mainly for the slaughter and sale of veal. The operation will allow the new entity to be dominant on the market for the production of substitutes for veal milk and allow Van Drie to maintain its leading position for the slaughter and production of veal.
The Commission has nonetheless concluded that there is no effect on competition and has authorised merger conditions as notified. It noted the existence of many competitors, some of considerable size, that are vertically integrated on these markets, and others of a smaller size, but which are independent and offer their services locally (mainly for milk substitutes). The Commission has examined the case at the request of the parties, although their project does not meet the criteria for automatic examination. Van Drie has thus avoided notifying the affair separately to the competition authorities of six countries: Austria, Belgium, the Netherlands, Germany, France and Italy.