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Only homegrown cigarettes sold at highway service areas: sources

All News 17:15 July 25, 2016

SEOUL, July 25 (Yonhap) -- Only cigarettes produced by South Korea's sole tobacco maker KT&G Corp. are sold at highway service areas nationwide despite the antitrust watchdog's earlier order to correct such an unfair practice, industry sources said Monday.

Last year, the Fair Trade Commission (FTC) delivered a fine of 2.5 billion won (US$2.19 million) to KT&G for forcing retailers not to sell cigarettes produced by foreign companies.

KT&G offered cigarettes at lower prices to retailers at rest stops across the country to exclusively sell its products.

Despite the move, only three out of 239 highway rest areas sell foreign cigarette brands such as Marlboro or Dunhill, the sources said.

"Nothing has been changed despite the FTC's order for KT&G's anti-competitive behavior more than a year ago," said an industry source on the customary condition of anonymity.


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