Jan Kurth, Managing Director of the Associations of the German Furniture Industry, comments on the takeover of the Porta Group with around 140 locations in Germany, the Czech Republic and Slovakia by XXXLutz, which was announced yesterday as follows:
Jan Kurth, Managing Director of the Association of the German Furniture Industry.
'The planned takeover of the Porta Group by XXXLutz is dramatic news for the German furniture industry. If this purchase were to take place, the already high concentration in the German furniture trade would be further exacerbated and reach a threatening magnitude. Our medium-sized manufacturers have been facing growing market power from the retail trade for years and are forced to make ever greater concessions.'
'Right now, the XXXLutz Group and its purchasing association Giga are putting pressure on German suppliers with demands that we consider untenable. We call for an in-depth antitrust review of this project not only at the European level, but also at the German level, in order to assess the market position in individual regions and in individual price segments. In addition to the distortion of competition, negative effects on consumers are also to be feared, for example in the form of a decreasing variety of offers.'
More information:
Associations of the German Furniture Industry (VDM/VHK)
www.moebelindustrie.de