THE Comesa Competition Commission (CCC) has concluded a major investigation into global beverage giant Diageo Plc, imposing a substantial settlement of US$750 000 for engaging in anti-competitive business practices across several member States, including Zimbabwe.
The announcement was made on Friday by CCC chief executive officer Willard Mwemba during a Press conference in Nairobi, Kenya.
“From inception, the Commission has handled over 480 mergers and acquisitions, over 50 restrictive business practices and over 60 consumer protection cases, each one a testament to our commitment to a fair and competitive regional market and protecting the consumers in the common market,” he said, detailing a series of enforcement actions taken by the Commission over the past year.
The investigation into Diageo, initiated in June 2021, scrutinised the company’s distribution agreements in Eswatini, Ethiopia, Kenya, Mauritius, Rwanda, Seychelles, Uganda, Zambia, and Zimbabwe.
The CCC focused on practices such as resale price maintenance, single branding, and territorial restrictions, which can stifle competition and lead to higher prices for consumers.
According to the Commission, these practices amounted to market allocation, violating Article 22 of the Comesa Competition Regulations.
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After extensive engagement, Diageo entered into a commitment agreement, endorsed by the CCC’s committee responsible for initial determinations on September 23, 2025.
As part of the settlement, Diageo has agreed to pay the US$750 000 penalty and has taken corrective actions, including terminating specific distribution arrangements in Eswatini and Zambia and amending its contracts in Uganda to remove the anti-competitive clauses.
The CCC has committed to monitoring Diageo’s compliance to ensure fair competition is maintained in the common market.
This case is part of a broader enforcement drive by the CCC. The Commission also concluded a case against Heineken Holding N.V., which resulted in a US$900 000 settlement.
Furthermore, Mwemba highlighted the Commission’s ongoing work.
“We have also deepened our cooperation with member States and stakeholders both within and beyond the region and continued to strengthen the legal and regulatory framework governing competition and consumer protection in the Comesa region.”
For Zimbabwean consumers and businesses, these actions signal the CCC’s growing role in regulating corporate behaviour that can impact market dynamics and consumer welfare within the 21-member regional bloc.
The fines and enforced changes aim to foster a more competitive business environment, which can lead to greater choice and fairer pricing.
Diageo is a British multinational alcoholic beverage company headquartered in London, England.
It has a footprint in Zimbabwe and is the manufacturer of the Johnnie Walker brand.