OFT launches unexpected aggregates study
EARLIER in the week, the Office of Fair Trading announced the launch of a market study into the £4.8 billion UK aggregates sector.
While the exact purpose of this inquiry does not appear to be entirely clear, it is understood that OFT has indicated it was not responding to a specific complaint, but rather to concerns about the way in which the current planning system works may be acting as hindrance to competition in the marketplace.
In response to this move, the Mineral Products Association (MPA) has stated that it will be happy to cooperate fully with the study and that it was confident that the operation of the current mineral planning system would prove to be sound.
The British Aggregates Association (BAA) has also welcomed the study, but takes the opposite view on the existing planning system, which it considers to disadvantage smaller companies and, therefore, acts as a constraint on competition.
The OFT has invited initial comment by the middle of October and, following a period of consultation and evidence gathering, is scheduled to complete the study by next July.
While the exact purpose of this inquiry does not appear to be entirely clear, it is understood that OFT has indicated it was not responding to a specific complaint, but rather to concerns about the way in which the current planning system works may be acting as hindrance to competition in the marketplace.
In response to this move, the Mineral Products Association (MPA) has stated that it will be happy to cooperate fully with the study and that it was confident that the operation of the current mineral planning system would prove to be sound.
The British Aggregates Association (BAA) has also welcomed the study, but takes the opposite view on the existing planning system, which it considers to disadvantage smaller companies and, therefore, acts as a constraint on competition.
The OFT has invited initial comment by the middle of October and, following a period of consultation and evidence gathering, is scheduled to complete the study by next July.
