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Turkish Competition Authority announced on Thursday that it has approved Italian confectionery giant Ferrero’s request to temporarily reduce its minimum hazelnut purchase requirement for 2025, following a steep drop in yield and quality caused by adverse weather conditions.
Under the revised commitment, Ferrero is now required to buy at least 30,000 tons of in-shell hazelnuts during the September–December period, down from 45,000 tons previously mandated. The authority emphasized that the revision applies only to 2025 and is intended to balance market stability while protecting local producers from potential losses.
The revised decision comes within the framework of the company’s commitments under Türkiye’s competition law, formalized by a March 7, 2024 ruling covering the 2024–2026 period. The commitments require Ferrero to refrain from buying below the official intervention reference price, cap its total annual purchases at 100,000 tons, and ensure minimum seasonal procurement during the autumn months.
The Competition Authority underlined that any breach of these commitments — including the revised clause — would trigger daily administrative fines. The penalty increases proportionally with the duration of non-compliance, ensuring that firms terminating investigations through commitments remain fully compliant throughout the agreed period.
Ferrero, which owns the famous Nutella brand, is estimated to source around 70–80% of its hazelnuts from Türkiye.
The adjustment follows speculation that Ferrero, one of Türkiye’s largest hazelnut buyers, might suspend purchases as prices more than doubled over the past year amid weather-driven shortages and pest damage. According to a Financial Times report last week, the company had temporarily halted procurement following supply disruptions and price spikes, and the report also alleged speculative stockpiling by local intermediaries.
Responding to the report, Turkish Competition Authority President Birol Kule said earlier this week that Ferrero must honor its market commitments, while rejecting claims of price manipulation. "Ferrero must meet its obligations fully — this is a requirement of both business ethics and public responsibility," Kule said, reiterating that the company’s commitments to the authority are binding and that failure to fulfill them would be subject to legal penalties.
Türkiye accounts for roughly 70% of global hazelnut production, yielding about 714,000 tons in 2024. However, the Turkish Statistical Institute (TurkStat) projects that output could fall by 38.5% in 2025 to around 441,000 tons, marking one of the steepest declines in recent years.
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