Monday, January 30, 2017 11:15 am

SANTIAGO, Chile (From news reports) -- Chilean forestry and paper group CMPC will pay around $130 million to consumers as compensation for a collusion scheme to control a related market, according to media reports.

In October 2015, Chile's competition regulator said CMPC and a subsidiary of Sweden's SCA had colluded for at least a decade to control nearly 90 percent of the Chilean tissue and toilet paper market, inflating prices.

CMPC, controlled by Chile's powerful Matte family, escaped a fine, but lawmakers demanded that it pay compensation to consumers, and it has been in talks with the government and consumer groups over the last 14 months. A deal is close, with CMPC offering to pay $130 million, the La Tercera newspaper reported, citing sources close to the talks. Details on the logistics still need to be worked out, but could involve a payment via a bank of around $10 per person going to every Chilean adult resident, the paper said.

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Join Jim Thompson on the 2nd Annual Papermakers Mission Trip to Guatemala, 22 - 29 July 17. Build houses, talk about the pulp and paper industry. For more information, email jthompson@taii.com with "Guatemala" in the subject line.