Brasilia - By a vote of five to one, the Brazilian consumer watchdog agency (Conselho Administrativo de Defesa Econômica) (Cadê) has vetoed the merger of multinational Nestle and a domestic producer, Garoto. According to a Cadê member, Thompson Andrade, the resulting company would own too much of the country's chocolate market.

However, the president of Cadê, João Grandino Rodas, voted in favor of the merger, saying that in his opinion it would not reduce competition or harm consumers.

The Cadê ruling comes exactly two years after the merger was first announced. (AB)