The Mike Hosking Breakfast John Small: Commerce Commission Chair on clampdown of cartel behaviour and bid rigging
Sep 27, 2026
John Small, an economist and Chair of the New Zealand Commerce Commission, discusses the crackdown on cartel behaviour in public procurement. He explains how bid rigging works, why limited competition can fuel collusion, and the challenges of proving secret agreements. Freight and courier market allocation also comes under scrutiny, with serious criminal penalties on the table.
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Cartel Conduct Has Been Building For Years
- Cartel-like conduct has existed in New Zealand’s business community for years, rather than emerging suddenly.
- John Small says the Commission is now focusing enforcement on this longstanding behavior.
Three Tradies Secretly Rig A Household Job
- Three tradies secretly agree who will win a household job and what price to submit.
- The customer expects independent quotes but instead receives a coordinated outcome.
Why Bid Rigging Is Difficult To Prove
- Proving bid rigging requires evidence of both communication and an actual agreement.
- Investigators often rely on confessions through leniency programs or tips from anonymous whistleblowers.