Mr Mike Walker VP of the US based consultancy company CRA International while giving evidence at the competition tribunal hearing in Johannesburg over claims that Mittal was setting domestic prices at the level of import parity told that the Mittal Steel’s prices for the domestic market were not excessive. Mr Walker said it appeared that Mittal Steel's flat product prices in South Africa were not significantly different to that in other countries.

He had provided two benchmarks that were used consistently in case law on excessive pricing: profitability and price comparisons. "I looked first at Mittal Steel's profitability. If its prices were excessive, one would expect it to make high profits. The evidence is that Mittal is not very profitable," he said. "Indeed, it has over the cycle made economic losses from its flat steel operations. This implies that Mittal Steel's prices have failed to cover its costs. I have referred to evidence that shows that Mittal Steel is a relatively efficient steel producer, so its lack of profitability cannot be attributed to inefficiency" Mr Walker said.

The tribunal is hearing a complaint from Harmony Gold and DRD Gold that Mittal Steel’s domestic prices to the mining sector were excessive.