Minister of Economic Development Ebrahim Patel has welcomed the settlement between Sasol Chemical Industries and the Competition Commission over abuse in the fertiliser industry.

Minister of Economic Development Ebrahim Patel has welcomed the settlement between Sasol Chemical Industries and the Competition Commission over abuse in the fertiliser industry.

"We welcome efforts to increase competition in the fertiliser industry, directed at lowering prices, given the importance of agriculture and rural development to employment in South Africa," he said in a statement yesterday.

Earlier, in a separate statement, the Competition Commission said it had reached a settlement agreement with SCI, finalising the abuse aspect of the fertiliser case arising from complaints by Nutri-Flo and Profert. It had filed an application for the confirmation of the settlement agreement by the Competition Tribunal.

Patel said government had taken note of the settlement, in particular the structural remedy of divestiture that had been applied in the case.

"In work undertaken to promote a growth path for South Africa, agriculture, agro-processing and rural development emerged as important means to expand employment and improve economic growth."

Patel said the commission had advised that further investigations into the fertiliser industry were continuing. - Sapa