The Philippine Competition Commission fined six onion importers, traders and related firms a combined 1.76 billion pesos for running a cartel in the onion trade, Rappler and the BBC reported. The BBC put the penalty at about $27.9 million and reported that the commission called it its largest fine since it was formed in 2016. Rappler described it as a record fine.

The commission said the firms ran an "illegal market allocation scheme in the importation, cold storage, and wholesale distribution" of red and yellow onions, Rappler reported. Evidence from raids showed the firms together controlled nearly 50% of approved onion import clearances in 2020 and 2021, the commission said, according to Rappler and the BBC.

The fined companies include Golden Shine International Freight Forwarders Corp. and Tian Long Corp., and four company officers were also held liable, Rappler reported. Charges against two other groups were dismissed for "insufficient evidence," Rappler reported. The government had sought a fine of about 2.4 billion pesos in 2024, according to Rappler.

In late 2022, onion prices hit a record 800 pesos per kilogram, more than the daily minimum wage and above the price of meat, the BBC reported. Rappler reported prices above 800 pesos per kilo. Onions disappeared from restaurant menus and became the object of smuggling attempts, the BBC reported. A legislative committee later said a cartel was behind the "artificial" surge in prices, according to the BBC.

The companies could also face criminal charges if the Justice Department finds grounds, Rappler and the BBC reported. The reports did not include responses from the fined companies.

What we know: Six firms were fined a record 1.76 billion pesos over an onion cartel that controlled nearly half of import clearances.
What we don't: Whether the firms will appeal or face criminal charges.