French Competition Authority Fines Nel Group €2.16 Million Over Abuses at Mayotte Port
Key Takeaways
- €2.16 Million Fine Imposed: France’s Autorité de la concurrence fined several companies in the Mayotte-based Nel group a combined €2,162,599 for two abuses of a dominant position at the Port of Longoni.
- Competing Operator Excluded: The authority found that the Nel group used the dominant position of port concessionaire Mayotte Channel Gateway (MCG) to expand into related handling markets, resulting in the exclusion of incumbent operator SMART in favor of its subsidiary, Manu-Port.
- Unfair Charges on Importers: MCG imposed unfair trading conditions on Mayotte-based importers, including charges for services unrelated to those provided, increasing costs for local businesses.
- Concessionaire Status Aggravated Penalty: The authority treated MCG’s position as a public service concessionaire as an aggravating factor when determining the fine.
- Publication Order Issued: MCG must publish a summary of the decision on the website and in the print edition of Mayotte Hebdo.
Deep Dive
France’s competition authority has fined several companies in the Mayotte-based Nel group €2.16 million after finding that the group used its control of the Port of Longoni to exclude an established cargo-handling operator and impose unfair charges on local importers.
The Autorité de la concurrence announced the €2,162,599 penalty on October 15, concluding that the group had committed two abuses of a dominant position involving Mayotte Channel Gateway (MCG), the public service concessionaire responsible for operating the port.
The first concerned the Nel group's expansion into cargo-handling activities beyond MCG's original role as concessionaire. According to the authority, the group took control of the port's economic activities and engaged in practices that resulted in the exclusion of Société Mahoraise d’Acconage de Représentation et de Transit (SMART), the incumbent handling operator, in favor of its own subsidiary, Manu-Port.
The second involved charges imposed on importers for services unrelated to those actually provided. The authority found that MCG had abused its dominant position in the handling of full containers to and from Mayotte, increasing costs for businesses importing goods to the island.
The Displacement of an Established Operator
MCG's position as the public service concessionaire gave it a dominant position in the port activities examined by the authority. The Nel group used that position to expand into related handling markets, according to the decision.
The authority found that the group's activities extended beyond the responsibilities originally associated with MCG's concession. Its growing control over Longoni's economic operations allowed it to favor Manu-Port, a handling company within the same group.
SMART, the port's incumbent cargo-handling operator, was ultimately excluded through practices the authority determined were not based on competition on the merits.
The finding places particular scrutiny on how the Nel group used the commercial advantages associated with MCG's concession. The authority concluded that the group had exploited an existing dominant position to expand into related markets at the expense of another operator.
MCG's responsibilities as a public service concessionaire also influenced the penalty. The authority expressly treated that status as an aggravating factor.
Importers Charged for Unrelated Services
The second abuse concerned the commercial conditions MCG imposed on businesses importing goods into Mayotte. The authority found that MCG held a dominant position in the market for the horizontal handling of full containers to and from the island. It used that position to impose unfair trading conditions on local importers.
Those conditions included charges for services unrelated to those actually supplied, which the authority concluded had increased importers' costs.
The finding concerned MCG's treatment of customers purchasing container-handling services, rather than the exclusion of a competing operator. It formed a separate basis for the sanctions imposed on the Nel group companies.
An Investigation That Previously Led to Obstruction Sanctions
The decision follows an investigation that began with a report from France's Directorate General for Competition Policy, Consumer Affairs and Fraud Control (DGCCRF). The Autorité de la concurrence subsequently carried out dawn raids as part of its investigation into the group's activities at Longoni.
In 2021, the authority fined MCG and its parent company for obstructing the investigation. That earlier sanction preceded the examination of the underlying competition practices addressed in the October 2026 decision.
The authority has now imposed a combined fine of €2,162,599 on several companies in the Nel group for the two abuses of a dominant position.
In addition to the financial penalty, MCG has been ordered to publish a summary of the decision on the website and in the print edition of Mayotte Hebdo.
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