Bayer, Braskem Probed for Chlorine Cartel in Brazil, Estado Says

Bayer AG (BAYN) and Braskem SA (BRKM5) are among companies being investigated for forming a chlorine cartel in Brazil, O Estado de S. Paulo reported, citing documents by the Justice Ministry’s antitrust arm, known as SDE.

The chlorine makers agreed to assigned geographic territories and took turns in bidding for contracts to supply the government, the Sao Paulo-based Estado said. Chlorine is used as a bleacher by the pulp industry and as a disinfectant for public water.

Braskem was cited in the investigation because it’s a member of the Abiclor industry association and all companies that are members were mentioned in the probe, Braskem told Estado. The story contains no comment from Bayer.

Spokesmen for Braskem and Bayer in Brazil didn’t immediately return e-mails and phone calls from Bloomberg News seeking comment.

To contact the reporter on this story: Lucia Kassai in Sao Paulo at

To contact the editor responsible for this story: James Attwood at

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