CCI Seeks Additional Details In Anti-Competition Petition Against Blinkit, Instamart, Zepto | Profit Exclusive

India’s antitrust regulator has requested further information from the petitioner in its ongoing review of a petition on alleged anti-competitive practices by Blinkit, Instamart, and Zepto. 

The Competition Commission of India is seeking detailed input regarding the alleged market dominance, pricing strategies, and operational practices of the companies named in the complaint, according to people familiar with the matter.

The request pertains to the petitioner's claims of deep discounting and other business irregularities that may fall under certain provisions of the Competition Act, 2002.

The matter originated from a petition filed in March by a fast-moving consumer goods distributors’ body. Members of the All India Consumer Products Distributors Federation originally alleged that the three companies engaged in practices that could restrict competition in the quick commerce segment.

Following a preliminary review, the CCI is assessing whether the activities of Blinkit, Instamart, and Zepto contravene India’s competition laws.

Sources familiar with the process said the Commission will re-list an application seeking inspection of the companies after evaluating the new materials submitted by the petitioner.

The CCI has not issued a formal investigation order at this stage, and no conclusions have been drawn. The proceedings remain in the initial review phase, during which the Commission is gathering evidence to determine if a full probe is warranted.

Blinkit is owned by Eternal Ltd., while Instamart is operated by Swiggy Ltd. Zepto is independently owned and is currently in the process of securing funding at a multi-billion-dollar valuation.

Zomato, Swiggy and Zepto did not respond to NDTV Profit's request for comments at the time of publishing the story.

Usually, CCI initially evaluates a complaint to determine if there are any apparent violations of competition laws. If violations are found, the matter is referred for a detailed investigation by its director general.

If accepted, this will be the latest in a line of high-profile antitrust probes involving online retailers. In December, the Supreme Court transferred all cases pertaining to the antitrust probe launched against e-commerce giants Amazon and Flipkart before the Karnataka High Court.