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Famed and Historic Carmel Wineries in Danger of Being Declared a Monopoly

Israel's Competition Commissioner is considering declaring Carmel Wineries a monopoly in the Kiddush wine and must supply market, citing significant market.

Jerusalem, 9 June, 2026 (TPS-IL) — Israel’s Competition Commissioner announced today (June 9) to Israel’s famed and historic Carmel Wineries (the cooperative winegrowers’ association of Rishon Lezion Wineries Ltd. and Zichron Yaakov Ltd.) that it is considering using the authority vested in it and declaring the company a monopoly in the supply of must and wine for Kiddush (religious benediction over wine on the sabbath and holidays).

Already During the examination of the merger between Carmel and the Erza Winery, the Competition Authority’s investigation revealed findings that Carmel’s share exceeds half of the total supply in the markets for must and wine for Kiddush and that it has significant market power in these markets.

The Authority’s findings were approved by the Competition Court.

From recently collected data, it appears that Carmel’s position in the relevant markets remains strong and its market shares have even increased.

Should Carmel be declared a monopoly holder, the obligations and prohibitions under the provisions of the Food and Pharmaceutical Law will apply to it from now on, in relation to the markets in the declaration. Among other things, it will be prohibited from interfering in the arrangement of shelves in food chains, making the sale of a particular product conditional on the purchase of another product, interfering in any way with the price of the product to the end customer in food chains, and other restrictions that appear in the Food and Pharmaceutical Law.

author avatar
Gil Tanenbaum