The Competition Appellate Tribunal has returned the Al-Ghazi Tractors Limited case to the Competition Commission of Pakistan (CCP), directing the regulator to restart proceedings from the stage of the show-cause notice.
In its order, the Tribunal noted that Al-Ghazi had relied on a report by the Agricultural Mechanization Research Institute (AMRI), Punjab in its defence. It instructed the CCP to issue a notice to AMRI, confront the institute with the report submitted by the company, and evaluate the conclusions Al-Ghazi had drawn from it.
The Tribunal also permitted the CCP to seek comments from other tractor manufacturers whose models were referenced in the AMRI document. It directed that the proceedings must be completed within 90 days.
Separately, the Tribunal discharged in favour of the appellant the Rs10 million security amount previously deposited.
The case stems from a CCP order that had imposed a Rs40 million fine on Al-Ghazi Tractors for advertising what it said was a misleading claim of “up to 30% extra diesel savings.” The CCP had found the claim to be incorrectly linked to an AMRI study, which neither certified nor endorsed such a comparison and had tested only a limited number of models.
The CCP will now resume the case as instructed, stating it remains committed to preventing deceptive marketing practices in the agricultural machinery sector.
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