CCI to deliver final orders on Amazon, Flipkart antitrust probe by November

Investigation confirms allegations of preferential treatment and deep discounting; Regulator set to conclude four-year probe.

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  • Storyboard18,
| September 16, 2024 , 9:04 am
The case has sparked multiple writ petitions filed by sellers on these platforms, challenging CCI's procedural actions.
The case has sparked multiple writ petitions filed by sellers on these platforms, challenging CCI's procedural actions.

The Competition Committee of India (CCI) is set to issue its final orders by November on the long-running investigation into alleged anti-competitive practices by ecommerce giants Amazon and Flipkart.

According to sources close to the development, the regulator’s probe has confirmed that both companies have engaged in antitrust activities, giving preferential treatment to select sellers on their platforms.

The CCI’s investigation wing, headed by Director General Ansuman Pattnaik, found evidence that the platforms’ deep discounting practices, facilitated through preferred sellers, are distorting competition. “The anti-competitive practices have been noticed across most product categories,” a source told in a report.

The probe, which has been ongoing for four years, is now in its final stages. The findings, finalized in August, were submitted to both Amazon and Flipkart for their responses. The timing coincides with the build-up to Diwali, a critical sales period for the ecommerce giants.

After reviewing the responses from both companies, the CCI is expected to deliberate and arrive at a final decision. “It should come by November,” said another person familiar with the matter.

The regulator’s orders will likely reflect the position that deep discounting through preferred sellers has indeed harmed market competition.

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