Dentons Rodyk has successfully obtained a favourable decision from the Competition and Consumer Commission of Singapore (“CCCS”) for the formation of Singapore’s first ever poultry slaughtering hub. The joint venture parties include Mr Tan Chin Long (“TCL”), Kee Song Holdings Pte. Ltd (“KSH”), Sinmah Holdings (S) Pte. Ltd., Tong Huat Poultry Processing Factory Pte. Ltd. (“Tong Huat”) and Tysan Food Pte. Ltd. (“Tysan”) (collectively, the “Parties”). 

This ground breaking decision marks the first of many hub formations for land-scarce Singapore, proving that competitors can compete fairly and effectively with the right processes in place. 

On 29 June 2018, CCCS granted its approval of the formation of Singapore Poultry Hub Pte. Ltd. (“SPH”) to provide poultry slaughtering services (the “Joint Venture”) after receiving commitments from the Parties. The CCCS has found that the Joint Venture, if carried into effect, will not infringe the section 34 prohibition of the Competition Act of Singapore.

Competition concerns arising from the Joint Venture related to the potential facilitation of the sharing of confidential and commercially sensitive information between the Parties given that the Parties would retain upstream and downstream activities to the slaughtering services. Over the course several submissions from the Applicants and third parties, CCCS concluded that the Joint Venture would satisfy the requirements of the Net Economic Benefit Exclusion in the Third Schedule to the Competition Act. Thus, CCCS approved the Joint Venture, conditional upon the implementation of and compliance with several undertakings by the Parties not to exchange any highly confidential information.

Operations of the facility is expected to commence by mid-2019.

About Dentons Rodyk

Dentons Rodyk is one of Singapore's biggest law firms and part of the world’s largest, with a team of around 200 lawyers offering clients a full suite of legal services necessary to do business locally and globally. With over 160 years of establishment, consistently ranked highly in leading publications, we pride ourselves on providing the highest quality advice to our clients while maintaining strong working relationships with key public sector agencies and leading organisations in the private sector. Our combination with global law firm Dentons, makes us part of the world’s largest law firm with more than 12,500 professionals in over 160 locations in more than 80 countries.

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