Swiggy, Blinkit, Zepto Might Be In Hassle, Retail Staff Calls for Investigation from CCI for low pricing

In the last few years, the business of Quick Commerce has increased rapidly in the country. Big companies in this segment, Blinkit, Swiggy and Zepto have been accused of allegedly increasing the price by reducing the price. Companies associated with quick commerce promise to delivery from grocery to electronics in a short period of 10 minutes.

The All India Consumer Products Distributors Federation (AICPDF) has stated in a letter to the Competition Commission of India (CCI) last week that companies associated with Quick Commerce are trying to pull customers by giving low pricing or huge discounts. Reuters have seen this letter. In this, CCI has been requested to implement measures to protect the interests of general distributors and retailers. AicPDF, who represents about four lakh retail distributors of large companies, has said in this letter that it is very difficult for general distributors and retailers in such methods.

The CCI did not answer the questions sent by Reuters about this. AicPDF refused to comment on the letter. This year, the annual sales of companies associated with Quick Commerce are expected to exceed six billion dollars. According to market research firm Datum Logic, ZOMATO’s control Blinkit in this market is about 40 percent of the share. In this, the market share of Swiggy and Zepto each is about 30 percent.

A government official told the reuters that the CCI has the power to start an investigation if the facts are found to be correct in a complaint. Recently, CCI’s Investigation Unit found that large e-commerce companies like Amazon and Flipkart have violated laws in low pricing methods. However, these companies have denied such allegations. Business related to Quick Commerce is growing rapidly. This year ZOMATO’s share price is doubled. Swiggy with Japan’s SoftBank investment also plans to bring an IPO of more than one billion dollars soon. These companies have also faced such allegations earlier.