On 4–5 February, the International BRICS Competition Law and Policy Centre of the Higher School of Economics (the BRICS Competition Centre), jointly with the Egyptian Competition Authority, held the BRICS Working Group for the Research of Competition Issues in Food Markets in Cairo. The antimonopoly authorities agreed to launch a joint analysis of the grain sector, to be conducted with the support of the BRICS Competition Centre and based on the Centre’s academic report. On the sidelines of the meeting, a cooperation agreement was also signed between the St. Petersburg International Mercantile Exchange and the Egyptian Mercantile Exchange.
Alexey Ivanov, Director of the International BRICS Competition Law and Policy Centre at HSE, presented a conceptual vision of the structure and content of the forthcoming BRICS authorities’ study on food markets. The study is expected to include an in-depth analysis of global grain trade, taking into account new forms of harm and risks associated with the conduct of key market players, primarily global grain traders.
He called on the competition authorities of the BRICS countries to assume a more active and coordinated role, including through joint market studies, possible anti-cartel actions, and participation in the creation of a BRICS grain platform capable of genuinely transforming trade rules and enhancing market resilience and fairness.
In the photo: Alexey Ivanov (center) with the leadership of the the Indonesian Competition Commission © HSE University
“In the Kazan and Rio de Janeiro Declarations, the leaders of the BRICS countries stated the need to establish a BRICS grain exchange. Competition authorities may believe that this does not fall within their remit; however, without pro-competitive architectural design, such a platform will simply reproduce existing market problems. For the platform to be meaningful, it must be transparent, inclusive, resilient, and conducive to food security, delivering benefits to both consumers and farmers. BRICS leaders expect not the creation of formal, hollow institutions, but a real transformation of grain trade mechanisms,”
said Alexey Ivanov.
Andrey Tsyganov, Deputy Head of the Federal Antimonopoly Service of Russia, described the Centre’s academic report “From Fields to Futures: Competition, Financialization, and Digitalization in Global Grain Value Chains” as a unique study that not only outlines problematic aspects of the global grain market, but also proposes recommendations for BRICS antitrust authorities on how to change the existing rules of the game. In his view, the complexity of current challenges requires a joint response “through practical cooperation, joint investigations, and coordinated measures.”
Maksim Yermalovich, Minister in charge of Competition and Antitrust Regulation of the Eurasian Economic Commission, emphasized the need for a unified methodology for market studies, political support from governments, and a focus on practical outcomes.
“The key outcome of the first study should not be merely a description of the market, but concrete recommendations and guidance for the antitrust authorities of the BRICS countries, enabling them to initiate investigations, coordinate actions, and exert real influence on how markets function,”
he noted.
Gustavo Augusto Freitas de Lima, President, Administrative Council for Economic Defense (CADE), stated that such joint studies, while not a form of enforcement, can serve as a basis for policymaking and subsequent investigations. He also highlighted the grain sector as a priority area for such analysis, particularly given the scale of the BRICS countries’ populations and their role as agricultural producers.
“I participate in meetings of different authorities within organizations such as UNCTAD and the ICN (International Competition Network — Ed.), and at present it is very difficult to implement multilateral initiatives within the traditional UN system and similar structures. Against this background, BRICS appears to be a very promising alternative,” he said. “Despite significant cultural differences, our countries have much in common. It is a less bureaucratic environment than the UN, and BRICS lacks a rigid institutional structure, which makes it easier to launch initiatives of this kind.”
In the photo (from left to right): Tembinkosi Bonakele, Igor Artemiev, Gustavo Freitas de Lima, Maksim Yermalovich, Mahmoud Momtaz, Andrey Tsyganov © HSE University
Fanshurullah Asa, Chairman, Indonesia Competition Commission, noted that Indonesia is simultaneously a major importer and exporter of agricultural products, yet is effectively embedded in global chains controlled by transnational corporations, which limits national autonomy in price formation and food security. He emphasized that Indonesia is ready to actively participate in the joint study on grain market issues.
“Our objective is to ensure that the benefits of global integration are not achieved at the cost of systemic vulnerability, the displacement of small participants, and the erosion of competitive market structures,”
said Fanshurullah Asa.
Kagiso Zwane, Senior Economist, Competition Commission of South Africa, assured participants that the Commission is ready to support the study under the auspices of the BRICS Centre.
“Market transparency is fundamental to the functioning of competition and fair trade. The need for transparent markets becomes particularly acute in the context of climate change, which is beginning to affect market formation. Whereas abundance used to be the norm and scarcity the exception, we are now observing the opposite trend,”
said the South African representative.
AI Agent for Competition Authorities
The BRICS competition authorities also expressed support for the initiative of the BRICS Competition Centre at HSE to develop a digital platform for inter-agency cooperation related to data collection and analysis based on artificial intelligence.
Alexey Ivanov noted that amid increasing digitalization, such tools — so-called AI agents — are already widely used in everyday life.
“There is no reason why antimonopoly authorities could not use them to facilitate information exchange,” he said. “This concerns the processing of aggregated data without the use of personal or confidential information. Such tools can be effectively trained and may become the next step in the development of our cooperation.”
The Head of Brazil’s antitrust authority, Gustavo Augusto Freitas de Lima, supported this view, noting that information is a key resource for antitrust agencies and that establishing data exchange within BRICS would constitute a significant asset. He pointed out that international cartel investigations are complicated by substantial information asymmetries, as many agreements are concluded outside national jurisdictions, and the lack of data on investigations in other countries hampers domestic inspections and the summoning of witnesses.
“At this stage, it would be appropriate to focus on creating a platform for collecting and standardizing certain types of data, as well as informing authorities about what data should be collected and how,"
he believes.
Mohammed El-Beltagy, CEO, Optomatica, expressed confidence that BRICS countries could establish a system for exchanging information on mutual trade that would significantly reduce the influence of a small group of key global traders and ensure verification and cleansing of trade transaction data. Such a tool could also be stress-tested to model scenarios of potential manipulation and identify vulnerabilities in clearing mechanisms, with a view to building a resilient, transparent, and open system for all BRICS countries.
The BRICS Competition Centre at HSE will assume responsibility for developing a unified methodology and core digital tools, including language models, to support such an AI platform.
he First Step Toward a BRICS Grain Exchange
On the sidelines of the Working Group, a formal signing ceremony took place for a memorandum of understanding between the St. Petersburg International Mercantile Exchange (SPIMEX) and the Egyptian Mercantile Exchange (EMX). The parties agreed to cooperate in promoting commodity trade, exchanging information and analytical data on market conditions in commodity markets, and related areas. It is envisaged that the initial product categories for cooperation will include food commodities, energy resources, and mineral fertilizers as part of the agricultural value chain.
Signing of a memorandum of understanding between the St. Petersburg Exchange and the Egyptian Mercantile Exchange © HSE University
Igor Artemiev, President, St-Petersburg Exchange, expressed confidence that an exchange is a key market institution of soft power, capable of systematically and rapidly dismantling cartels and monopolies without costly criminal investigations or administrative pressure.
“The signing of the agreement with the Egyptian Exchange is our joint movement toward the development of a BRICS exchange and the establishment — through both us and them — of additional contacts with exchanges in other countries.”
It should be recalled that the BRICS Competition Centre is working jointly with the St. Petersburg Exchange on the concept of an International BRICS Exchange.
Source: HSE
