On Monday, November 9, 2026, the Commission for Protection of Competition imposed a record penalty of 75,653,706 euros on Kaufland Bulgaria over unfair trading practices.
Regulator Identifies Three Violations Following Manufacturer Complaints
The antimonopoly regulator divided the total sanction into three separate violations identified during its market investigation. The agency determined that the supermarket chain exerted pressure on Bulgarian food product manufacturers by demanding lower supply prices while prioritizing its own commercial interests.
Formal complaints from seven domestic enterprises in the food sector triggered the investigation, which culminated in a 92-page regulatory decision. The recorded grievances came from meat and dairy producers including Dimitar Madzharov, Bor Chvor, Milky Bio Group, Laktima, Boni Mesokombinat Lovech, KFM, and Lalov i Vachev.
According to the antimonopoly commission, the persistent enforcement of these trade practices caused the operating turnovers of these seven suppliers to steadily decline over the years, often forcing them to work merely to cover their baseline operational costs.
| Violation Type | Sanction Amount | Share of 2025 Turnover |
|---|---|---|
| Pressure to lower supply prices | 21,899,757 euros | 1.58% |
| Deduction of service fees from supply prices | 31,854,192 euros | 2.2% |
| Unjustified barriers and delays during price increase negotiations | 21,899,757 euros | 1.58% |
The total penalties amount to 5.36% of the company’s turnover for 2025, well beneath the maximum statutory limit of 10% under competition law. The regulatory body ordered an immediate cessation of the contested practices, backed by daily fines of up to 5% of the enterprise’s average daily turnover for the previous financial year if the order is ignored.
Corporate Pushback and Investment Threats
Representatives for the retail chain rejected the findings and warned that the financial blow would alter its economic footprint in the country. Kaufland Bulgaria stated that the penalty is entirely without objective foundation and sits completely out of proportion when measured against European regulatory standards.
Under these circumstances, we will be forced to completely reconsider our future investments in the country, which include a planned 200 million euros over the next three years alone.
Kaufland Bulgaria stated via Mediapool
The company noted that Schwarz Group, its parent organization, would also be advised to review its wider investment plans in the country. The retailer employs over 8,500 people locally and generated an annual turnover of 1.5 billion euros with a net profit of 67 million euros in 2025.
In its defense, the enterprise highlighted official figures compiled by the European Commission, which show that across the entire European Union, the cumulative sum of all financial penalties levied within the domain of unfair trading practices between 2022 and 2024 stood at 41.9 million euros spanning 754 separate instances.
Company Plans Appeal After Sector-Wide Market Study
The penalty stems from a sector-wide food market study that the regulator launched in June 2025. Following that initial inquiry, the antimonopoly body initiated formal proceedings against Kaufland Bulgaria and T Market operator Maxima Bulgaria in May 2026.
The company confirmed it will file an appeal before the Sofia-Region Administrative Court within the mandatory 14-day window. Commission chairman Rosen Karadimov defended the action by comparing it to a 100 million euro sanction issued against Lukoil Bulgaria and Lukoil Neftohim in 2023.
