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U.S. Tortilla Makers Sue Mexican Firm

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Bloomberg News

U.S. tortilla makers have filed suit in federal court in Galveston, Texas, against Grupo Bimbo, charging that the Mexican company is competing unfairly for shelf space in supermarkets.

Irwin Steinberg, executive director of the Tortilla Industry Assn. in Dallas, said the Federal Trade Commission also is investigating the practice.

Luis Sampson, deputy director of finance at Bimbo, confirmed that the suit had been filed. He added that Bimbo is complying with all U.S. laws and providing U.S. officials with the information requested.

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“We are convinced that all our operations and subsidiaries adhere to the laws of the different countries they operate in,” Sampson said.

The plaintiffs, which include tortilla producers El Aguila, La Espiga de Oro and La Reyna, allege that Bimbo and Gruma are buying space on supermarket shelves and preventing competing products from being displayed, Steinberg said.

Officials at Gruma, the world’s biggest tortilla maker, didn’t return phone calls.

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