CAPE TOWN – The Competition Tribunal has approved the merger between the biggest local ostrich processing companies, Klein Karoo International (KKI) and Mosstrich, as long as they make enough feathers and meat available on the local market.
The Tribunal ruling late last week follows a December 2018 ruling by the Competition Commission to prohibit the merger.
The commission had argued that it would create a near-monopoly in the ostrich industry and lead to a significant lessening of competition in the market for ostrich meat and feathers.
In January, KKI and Mosstrich filed an application in the Tribunal challenging the commission decision.
KKI and Mosstrich supply ostrich slaughter and ostrich feather-related services to ostrich farmers, and tannery services for ostrich skins. Ostrich feathers and meat are largely exported.