CEO DATELINE - Animal breeders association settles anti-competition complaint
CEO DATELINE - Animal breeders association settles anti-competition complaint
- August 31, 2017 |
- Walt Williams
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The National Association of Animal Breeders has agreed to refrain from restricting the use of a government-developed genetic test after the Federal Trade Commission determined the group engaged in anti-competitive behavior.
In an Aug. 18 statement, FTC said the agreement resolves an agency complaint brought against NAAB for restricting the use of bull insemination technology to association members. The technology was developed by the U.S. Department of Agriculture in 2006 using funding partially provided by NAAB. The test allows breeders to more easily identify a bull's ability to pass on commercially desirable genetic traits to their offspring, such as increased milk production.
NAAB had exclusive access to the technology until 2013, but the group adopted a resolution in 2008 requiring members to own at least a 30 percent interest in the bull being tested before being allowed to use the genetic test. FTC determined the measure went too far in restricting association members from selling the use of the test to non-members, so the agency issued a complaint.
Under the agreement, NAAB is required to stop restraining members from using or selling the tests, according to FTC. It also bars the association from restraining price-related competition among members relating to the sale or acquisition of bulls or bull semen.
NAAB had not issued any statements about the agreement as of Thursday. http://bit.ly/2xPaB6k
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