The All India Consumer Products Distributors Federation (AICPDF), which represents over 400,000 retail distributors of major companies including Nestle and Hindustan Unilever has written a letter to the Competition Commission of India. The federation is raising the demand for the anti-trust body to investigate India’s top quick commerce platforms.
According to a Reuters report, the federation has told the anti-trust body that quick commerce firms were practising predatory pricing - or offering deep discounts and selling below cost to lure customers. The letter further also alleges that several consumer goods companies are dealing directly with quick commerce firms to increase their reach, sidelining the traditional salespeople.
“Such practices make it impossible for traditional retailers to compete or survive," said the letter.
The federation has asked CCI to "Implement protective measures for traditional distributors and small retailers to safeguard their interests.”
The CCI's investigation unit earlier in August found bigger e-commerce players, Amazon and Walmart's Flipkart, breached local laws through predatory pricing, which the companies have denied.