Protest at Birmingham Tyre Tenders
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From a Special Correspondent
B1RMINGHAM CITY COUNCIL has protested to the Monopolies Commission that eight tyre manufacturers submitted identical tenders for a lyre maintenance contract— down to three decimal points of a penny. alr. Frank Gillespie, chairman of the transport committee, said this week: " I am sure we could get cheaper tyres if the tenders were not identical.There is supposed to he competition in the industry, but here is a clear indication that. agreements are made by firms, which are against the public interest."
The Corporation, which has the largest bus fleet outside London, had invited tenders for the maintenance and servicing of tyres for their 1,760 buses on a threeyear contract. The transport committee has deferred for the time being the lettering of the contract, believed to be worth £400,000, and is asking a sub-committee if a way can he found to break the alleged price ring.
Previous Complaints
CUL Gillespie said that identical tenders had been submitted for this contract every three years. Two previous complaints had been made to the Monopolies Commission in the past 12 years. The firms who tendered for the present contract are Dunlop, Goodyear, North British, India, Michelin, Avon, Firestone and Pirelli.
Mr. R. T. Bylord, secretary of the Tyre Manufacturers' Conference. denied there was any price fixing agreement by the eight firms, who are all conference members. "There cannot be any agreement ", he said. " If there was, it would have to be registered under the Restrictive Practices Act, 1956".